meetings of the boards of directors · the monthly travel, expenditures and solicitations for...

Valley Metro I 101 N. 1st Ave. Phoenix, AZ 85003 602.262.7433

MEETINGS OF THE

Boards of Directors

Joint Meeting of Valley Metro RPTA

and Valley Metro Rail

Valley Metro RPTA

Valley Metro Rail

Date: May 17, 2018

Starting Time

11:15 a.m.

Meetings to occur sequentially

Location: Valley Metro

Lake Powell Conference Room (10A) 101 N. 1st Avenue, 10th Floor

Phoenix

If you require assistance accessing the meetings on the 10th floor, please go to the 14th floor or call 602.262.7433.


May 10, 2018 Joint Meeting Agenda

RPTA Board of Directors And

Valley Metro Rail Board of Directors Thursday, May 17, 2018

Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor

11:15 a.m. Action Recommended

1. Public Comment (yellow card) The public will be provided with an opportunity at this time to address the committees on non-agenda items and all action agenda items. Up to three minutes will be provided per speaker unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

1. For Information

2. Chief Executive Officer’s Report Scott Smith, CEO, will brief the Joint Boards on current issues.

2. For information

3. Minutes Minutes from the April 19, 2018 Joint Board meeting are presented for approval.

3. For action

CONSENT AGENDA 4A. Off-Site Records Storage Services Staff recommends that the Boards of Directors authorize the CEO to execute a contract with Iron Mountain Information Management LLC to provide off-site records storage services to Valley Metro for 5 years, with three one-year extension options. Costs for the initial year are $82,860. The total contract value will not exceed $132,574. RPTA costs will not exceed $66,287 and VMR costs will not exceed $66,287.

4A. For action

Agenda

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4B. Microsoft Enterprise Agreement Annual Reconciliation Order

Scott Smith, CEO, will request that the Boards of Directors authorize for the CEO to spend $161,300 to purchase licensing in order to fulfill the terms of the Agency’s Microsoft Enterprise Agreement.

4B. For action

4C. 2018 Transit Life Cycle Program Update Staff recommends that the Boards of Directors approve the 2018 TLCP Update.

4C. For action

REGULAR AGENDA

5. Executive Session The Boards may vote to enter Executive Session for discussion or consultation for legal advice with the attorney or attorneys of the public body and to consider its position and instruct its attorneys regarding the public body’s position regarding personnel matters and contracts that are the subject of negotiations, in pending or contemplated litigation or in settlement discussions conducted in order to avoid or resolve litigation; all as authorized by A.R.S. Sections 38-431.03 A.1, A.3., and A.4.

5. For action

6. Executive Session Action Items The Boards may take action related to items discussed as part of Agenda Item 5.

6. For action

7. Fare Collection System Scott Smith, CEO, will introduce Paul Hodgins, Chief Financial Officer, who will provide an update on the development of a Request for Proposals for a new fare collection system for the region.

7. For information

8. Fiscal Year 2018 3rd Quarter Reports Fiscal Year 2018 3rd Quarter Reports are presented for information.

8. For information

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9. Travel, Expenditures and Solicitations The monthly travel, expenditures and solicitations for Valley Metro RPTA and Valley Metro Rail are presented for information.

9. For information

10. Future Agenda Items Request and Update on Current Events Chairs Klapp and Glover will request future agenda items from members, and members may provide a report on current events.

10. For information

Qualified sign language interpreters are available with 72 hours notice. Materials in alternative formats (large print, audiocassette, or computer diskette) are available upon request. For further information, please call Valley Metro at 602-262-7433 or TTY at 602-251-2039. To attend this meeting via teleconference, contact the receptionist at 602-262-7433 for the dial-in-information. The supporting information for this agenda can be found on our web site at www.valleymetro.org.

http://www.valleymetro.org/


DATE AGENDA ITEM 1 May 10, 2018 SUBJECT Public Comment PURPOSE The public will be provided with an opportunity at this time to address the committees on non-agenda items and all action agenda items. Up to three minutes will be provided per speaker unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided. BACKGROUND | DISCUSSION | CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None RECOMMENDATION This item is presented for information only. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None

Information Summary

mailto:[email protected]


DATE AGENDA ITEM 2 May 10, 2018 SUBJECT Chief Executive Officer’s Report PURPOSE Scott Smith, Chief Executive Officer, will brief the Joint Boards on current issues. BACKGROUND | DISCUSSION | CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None RECOMMENDATION This item is presented for information only. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None

Information Summary



May 10, 2018 Agenda Item 3

Board of Directors Thursday, April 19, 2018


11:15 a.m. RPTA Meeting Participants Councilmember Suzanne Klapp, City of Scottsdale (Chair) Councilmember Kevin Hartke, City of Chandler (Treasurer) Councilmember Pat Dennis, City of Avondale (phone) Councilmember Eric Orsborn, City of Buckeye Vice Mayor Bob Jones, City of El Mirage Councilmember Cecil Yates, Town of Fountain Hills Councilmember Brigette Peterson, Town of Gilbert Supervisor Steve Gallardo, Maricopa County Councilmember Chris Glover, City of Mesa Vice Mayor Jon Edwards, City of Peoria (phone) Vice Mayor Thelda Williams, City of Phoenix Councilmember Skip Hall, City of Surprise Vice Mayor Robin Arredondo-Savage, City of Tempe Councilmember Linda Laborin, City of Tolleson Mayor Michael LeVault, Town of Youngtown Mayor Everett Sickles, Town of Wickenburg Members not present Vice Mayor Lauren Tolmachoff, City of Glendale (Vice Chair) Councilmember Bill Stipp, City of Goodyear VMR Meeting Participants Councilmember Chris Glover, City of Mesa (Chair) Vice Mayor Thelda Williams, City of Phoenix (Vice Chair) Councilmember Kevin Hartke, City of Chandler Vice Mayor Robin Arredondo-Savage, City of Tempe Chair Klapp called the meeting to order at 11:18 a.m. The Pledge was recited. 1. Public Comment on non-agenda action items

Minutes

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Chair Klapp said I have a public comment card to begin with. And this is for non-agenda items, so we'll begin with Blue Crowley. Mr. Crowley said I would like to point out that one of your jobs is air quality. You only had how many violations in the last two months that we exceeded the, what, medium standards, and we're in serious for a couple times. I know that each one of you can't control your different municipalities and make it happen, but in the actuality of how much coordination of your diversity is being done as in - when are Phoenix, Paradise Valley, and Scottsdale going to be connected being it is the center of the populous on that road? Why is it that for how long because Paradise Valley said, well, we don't want bus stops in our community, but these two communities haven't been connected. And then I look -- and I'm appreciative that we have Fountain Hills in here now because in the original plan that we put together, the Prop 400, Mary, a lady from your community was on my committee. I was the one that did bus. I was the chairman of it. And it said you wanted to connect to the metroplex and also have circulator. When's that circulator going to be happening so that you actually have transit within your community and connectivity other than the express? Because that's what the system is supposed to be working the grid to its maximum abilities and making it happen and also, because you are the mixed committee, also working with the rail at the same time to make it multimodal. And then I see, well, if you're going to be working it together and working with the rail to some of your communities, do you have a heavy rail in every single one of your communities. And why isn't that part of the communication -- or the transportation equation? Is it that hard to get it done and to do it? And I appreciate that communities such as Wickenburg that are going out of their way to reestablish what we did put together and have the rural routes. And when are you, as the Board, going to realize that some of those rural routes also need to go to places like Tonopah, Queen Creek, and down the I-10. Have a pleasant. 2. Chief Executive Officer’s Report Chair Klapp said thank you. Next I'd like to call on Scott Smith to provide his report. Mr. Smith said thank you, Madam Chair, and now for the most exciting, heartfelt and instructional part of the program.

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You're not believing this, Thelda. Boy, if looks -- I wish I had a camera. It says, please just get over with it, right, ease my pain. I'm going to ease your pain, but also make you feel better about why you're here today. I appreciate that. First of all, I'd like to announce that our Audit and Finance Subcommittee is very active, and we have one of our first formal audit reports. It's releasing an internal audit from Mary Modelski. She issued this report and presented it to the Audit and Finance Subcommittee who accepted it. It's on the travel and entertainment expense audit. It's now -- the full audit can be found on the Valley Metro Website under the Board of Directors Internal Audit, so you can go look at that. That's available for everyone's perusal. April is Valley Bike Month and promotion of Valley Bike Month is underway. It is held in April of each year. It brings attention to bicycling as a safe, inexpensive, sustainable, and fun way to travel. Yes, we're very much involved in all multimodal forms of transportation. This year's calendar includes team challenges, a monthly contest, share the ride at ShareTheRide.Com, over twenty-five events. And to celebrate the 13th Annual Bike to Work Day on April 18, four hundred riders jumped on their bikes and rode from Park Central Mall down to CityScape in downtown Phoenix. We appreciate all that took place including Supervisor Steve Gallardo, who was one of them who helped us get that going. We also had an interesting visit just a couple weeks ago from community leaders in Surrey, British Columbia. Surrey, if you're not familiar with it, is a, as I like to call it, it's sort of like the Mesa of Vancouver. It's about 500,000 people in a very large suburb, growing very quickly. And their mayor, several of their council members, council members from adjoining communities, leaders of their regional transportation came to us because they're looking at extending their light rail further into their community. So they'd heard that we have a system here in metro Phoenix that is something to come look at, so they all came and spent a couple days with our staff, your city's staff, and we appreciate that. Here's a picture of them in Mesa Arts Center at the Main and Center Street Station. I'd like to thank Councilmember Glover who took his time to help with this group and appreciate all the help that we got. It was good talking to people to get an outsider's view of what they think of our system and thanks for their honest evaluations, and we really appreciated that. We also like to celebrate the involvement of community groups along our light rail corridor. Couple weeks ago, about last week actually, 19 North, which is a community

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alliance that runs along the 19th Avenue alignment a very, very active and important community group, had a clean-up along 19th North. Last Saturday some of our staff, as you can see here, joined in that effort. We're excited to see how groups that started during the planning and the construction phase to sort of act as a community support group has not only survived that construction, but actually has grown stronger and become an integral part of the community. And now we formally call that area the 19 North area. You approved a name actually on our stations 19 North. And this community group is even growing to help the community up there on 19th Avenue to thrive along light rail also. For a lot of months, and even over a year and a half, you've heard of what we call our Sandbox MOD project, the grant we got from the U.S. Department of Transportation. We now have Pass2Go, which is actually the product of that Sandbox, which is a mobile app test that began a couple/three weeks ago. It is and here's a picture both a screenshot and what you can do. You actually now can go onto the Pass2Go app and buy a day pass for Valley Metro bus and rail and use it. It's in the test phase. We have links to Lyft, Uber, Grid Bikes, things like that. The idea is to make this a one-stop shopping place for all your transportation needs and to go beyond that. As I said, this was funded by the FTA. We're happy to see this finally come to fruition and to the testing phase. We'll let you know when we do. We have almost 200 beta testers that are going to be using this so we can work out the bugs and hopefully have something that we can not only bring out for our use, but as a platform for others around the country to be able to use. This next month we will have the 18th Annual Transit Wrap Unveiling. This is one of the fun things we do every year where we ask high school students from around the valley to submit proposals for wrapping both a bus and a light rail vehicle. We have well over a hundred entries from some incredibly talented people. This year our first place went to Lindsay Ramos, a sophomore at Peoria High School, second place to Ruben Escobar Reyes, a senior at Marcos de Niza High School, and third place to Brent Locks [phonetic], a senior at Desert Mountain High School. As you can see it's spread around the valley. We'll be having that unveiling of what the design is out in Peoria at Peoria High School on May 16, Wednesday. We also would like to celebrate the successes of our staff members. This is a picture of Carrie Alexander. She's the one there on the far right.

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Carrie works in our Accounting Department as an accounting manager, and she received the 2017-18 Member of the Year Award from WTS Metro Phoenix. WTS is Women in Transportation, a very significant organization here in the valley and around the country and is very influential in transit and transportation. We're happy that Carrie has participated in this organization and they saw fit to recognize her as their -- it's not a woman of the year. It's the team player. It's the person -- member of the year award. So congratulations to Carrie. Would also like to make everyone aware that a week from this Saturday on April 28th, we have another World Bazaar which will happen at the Park-and-Ride at 19th Avenue and Camelback. Last year a lot of exciting things as we bring together a multicultural event and festival, an exciting thing right there on the light rail, so that's a week from this Saturday. I'd like to invite everybody to go out and participate in that. If our staff looks a little bit lightened, a lot of empty seats there, that's because a large number of them are actually in Atlanta right now. We are very honored and happy to participate in ENO Center For Transportation program called EnoMAX. We were invited to join a very, very prestigious group which includes the Denver RTD, LA Metro, Dallas DART, MARTA in Atlanta, and Sound Transit in Seattle and us, Valley Metro, a group called EnoMAX. And we have right now eight staff members that are at the manager level and up and coming leaders of Valley Metro both for today and hopefully tomorrow. They are in Atlanta for a week along with staff from RTD in Denver and MARTA to learn how their operations are, to share ideas, and to really help us be better. In another month they'll all go to Denver, and then they'll be coming here in August. We are very, very pleased to be invited in the group. That isn't the whole group right there. That's the whole Eno group. Those aren't all our employees. As I've said, we have managers and others that are in there, so we're appreciative of that. I like to save the best for last. And, you know, we're always excited when our staff and people that are related to Valley Metro do some special things. And I'd like to introduce you to Carl Butler. Carl, do you want to wave your hand and stand there? Carl is an East Valley bus operator. He works with First Transit, but he probably wears Valley Metro on his sleeve also. And on March 19, Carl was faced with a very interesting dilemma while he was driving one of his routes. He was driving his regular

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route on Main Street in Mesa, and he made a stop to pick up a passenger in a wheelchair. And as he was loading, helping this passenger get on, a young woman ran up to him and she said -- she was obviously very far along in a pregnancy. And she said, "Excuse me, sir. I think I'm giving birth. I need your help. And she asked, "Where's the nearest hospital?" Well, Carl didn't sit there and say, well, you know, if you run four blocks that way, take a right -- he could have done that. He could have said, well, why don't we wait here and let's do whatever. Do you know what Carl did? Carl said, "Hop on, we're going." And Carl drove this woman not only to the hospital, but to the emergency room. And you would think that there are people on the bus who would've said what in the heck are you doing. And actually they did that but in a very positive way. And they all thanked Carl for his quick thinking. We like Carl because he did what is right. And he did what made us proud. And this woman was safely delivered, and then she safely delivered right after she got to the hospital. So, Carl, thank you so very much for being a great example. And Councilmembers Glover and Klapp, if we could come up a get a picture with Carl. Also in the audience with Carl is Roger Chapin, who is the general manager of First Transit's operations here, another good story you all remember. You know, a year and a half, two years ago we were struggling in the East Valley with our bus service, and I can tell you that through the efforts of people like Carl and Roger we have turned that service around, and now we're very happy with the way things are going. It's an exemplary way of providing high-quality service to our customers even those who happen to be ready to deliver a baby on Main Street in Mesa. So thank you so very much. And Madam Chair, Mister Chair, that's my report. 3. Minutes Chair Klapp said thank you. The Minutes from the February 22, 2018 joint meeting are presented for approval. If I could have a motion for this, I would appreciate it. IT WAS MOVED BY COUNCILMEMBER GLOVER, SECONDED BY COUNCILMEMBER HARTKE AND UNANIMOUSLY CARRIED TO APPROVE THE FEBRUARY 22, 2018 BOARD MEETING MINUTES.

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4. Public Comment on Agenda Action Items Chair Klapp said the next item is to include Public Comment on Agenda Items. That is the blue card. And we have one card from Blue Crowley. Mr. Crowley said well, on the Financial Audit Services Contract Extension, when I see what they're supposed to be doing and then I see that y'all are saying, well, you know, in the last four years the costs have gone up that we're going to have to raise the fare. And I go, well, wait a minute. Where are they finding out where it is that we're spending more money. Where is it that it's showing instead of farebox recovery of 25 percent, I think is what you've shot for. That's the reason, Everett, that they took out the Wickenburg bus. They said that we weren't bringing enough money in to make it viable, even though according to the auspices, you're not here to make a profit; you're here to make transportation for the region. And the other thing is this information technology solution. I was talking to Pat about it, and they're going to have an emergency response team in case of an instance dealing with any problems. And I'm going, well, is this software, hardware that all we're dealing with. I keep on seeing the words "security, security, security." And my other favorite one is where it is going to cause you not to have to come as far, so it's also being touted as an energy and air saver. But I don't know if I've got a contract with people that are supposed to be covering and watching this stuff, something bad happens, why do they got to add, hey, we're going to do it right away, because that's what we hired you for in the first place. So I'm confused on why we have to have it stated that they're going to get to it right away and they've got people to get to it and do it right away, because isn't that what you're hiring them for in the first place. 5. Financial Audit Services Contract Award Chair Klapp said thank you. Next, I'd like to call on Scott Smith to introduce the item Financial Audit Services Contract Extension. Mr. Smith said Madam Chair, thank you very much. This is simply an extension of our agreement with our current auditors. They are, I believe, will be in the third year of the audit. We usually change out auditors every five years, and this is their third year. This is a housekeeping thing. They were under a state contract that had an expiration date. They've extended that, so we're coming to you to get approval to now extend this

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engagement one year so it coincides with their authority under the state contract. So I'd like to present that to you. Chair Klapp said are there any questions? Okay. Is there a motion for this item? IT WAS MOVED BY COUNCILMEMBER GLOVER, SECONDED BY VICE MAYOR WILLIAMS AND UNANIMOUSLY CARRIED TO AUTHORIZE THE EXECUTIVE DIRECTOR TO EXECUTE AN EXTENSION WITH CLIFTONALLENLARSON LLP FOR FINANCIAL AUDIT SERVICES UNTIL DECEMBER 31, 2018, UTILIZING A COOPERATIVE AGREEMENT EXTENSION THROUGH THE STATE OF ARIZONA. THE PERIOD OF SERVICE WILL COVER THE FISCAL YEAR 2018 AUDIT FOR AN AMOUNT NOT TO EXCEED $108,570. 6. Information Technology Solutions Chair Klapp said Mr. Smith, if you'll introduce the next one, Information Technology Solutions as well. Thank you. Mr. Smith said thank you, Madam Chair. As Phil Ozlin, our manager of Information Technology is walking up, I'm trying to make this as easy as possible. In 2015 this Board approved a strategic plan which called for the establishment of an IT Department. Before that Valley Metro did not have a separate technology department. Things were contracted out mostly. And we've been trying for the last couple/three years to build up our own capabilities. As you can imagine, we have significant information technology needs and with the current environment with cyber security, of course, being a major issue, we have undertaken that effort to try in line with the strategic plan build that department up. When Bill Tsuei, our former technology officer, left about a year ago, we were left for several months without real leadership and management. And we were fortunate enough to find Phil Ozlin who's been a great addition to our team. And one of the things that Phil was tasked with was to come in and do a complete deep-dive review of our entire IT system, our security system, our capabilities, the timeliness of our system. This recommendation that you have is an outgrowth of that process. Phil did not do that on his own. I think he'll talk to you about some of the cities that were also included at later stages of this review. But what we've got here to try and make it simple, there are some very significant asks that include both hardware, software, and consulting services. Now it's presented to you in one agenda item with four separate parts.

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And, Madam Chair, you can take these as a single item, or you can vote on them as four separate items. They're all significant in the sense there's some fairly significant dollars that were budgeted. We anticipated this going in. But as Phil explains to you the process that the team went through, I just wanted to give you a little background as to why all these things are showing up now and why they are so timely; yet, they are part of a plan that we implemented a long time ago. So I'll turn it over to Phil. Mr. Ozlin said thank you very much, Scott. Madam Chair, esteemed ladies and gentlemen of the Board, as Scott mentioned, I was brought in back in December and began to conduct a review of the IT Department to Valley Metro with an eye toward security and efficiency with a goal of -- out of that has grown a goal of updating our software and systems, ensuring we have a valid business continuity plan and the infrastructure to support that. That we are meeting all of our compliance requirements, such as, the Payment Card Industry Standards and the National Institute of Standards and Technology items, to provide automation where it can assist in freeing people up to provide service to our ridership, to ensure that we have an incident-response playbook and that everybody is trained on it in the event that we become the victim of a cyber-attack, that we provide clear use policies for our new employees and third parties with regards to the use of our technology, and that we adopt a formal information security governance approach for our operation. First we have a list of seven direct purchase items, which I'll go through briefly here. We're looking to expand our storage area network with two units to replace some aging units that were part of the original adoption done about a year ago which proved to not provide enough space for the services and systems that we're relying upon them to provide. The switches in the 101 Building have aged out past their usable life. Cisco no longer supports them, no longer provides security or break-fix service on them if we have a problem with them. We're looking to refresh our customer service call center applications through which we interact with our ridership to better manage our workforce, ensure that they receive quality service, and to ensure that it's done securely so that any information they may provide us is not leaked, and so that our phones cannot be used to make -- you know, for other individuals to make calls we do not authorize. There's an update to our human resource information system, which will be a long-term project, starting this year and completing next year, which is designed to ensure that the personally identifiable information regarding our employees is kept secure, and to ensure that we appropriately manage our personnel.

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We have our short code service. We would like to extend the existing relationship that we have to ensure that when our ridership is texting our NextRide service that they receive an appropriate response telling them when the next bus is going to arrive or any other information they may be seeking. We’re also looking at some boardroom improvements to improve our teleconferencing abilities, provide an assistive listening system for individuals with ADA concerns. And one of the side issues or side results of this is we're hoping that not only can it be used by the Board itself, but when we need large-scale communication between the location here, our Mobility Center, and the OMC on 48th that we can do so digitally and reduce the amount of travel between the sites by agency personnel. I'd also like to engage some professional services to overhaul our information security program to make sure that we have the appropriate risk assessment processes, policies and procedures, that we have appropriate system to manage any incidents or events to protect us from any possible data breeches has been experienced by several other municipalities and government services recently, and to make sure that the information of both our employees and our riders is appropriately protected. On the next page you will see a summary of the costs associated with these items, the vendors through whom we attempt to -- intend to purchase them and the existing contract mechanisms we'll be using for that. One thing you may notice on your printed copies is an unfortunate clerical error where the contingency column is misaligned. It is corrected up here on the screen. And we will happily provide a corrected copy to anyone who so requests. Moving on from the purchase item, we also have three contracts. The first is an extension of the information security program overhaul where we would engage the same individuals in providing twenty-four-seven monitoring service of our systems to keep an eye on them and to provide an alert and an instant response in the event that anybody attempts to access our systems inappropriately. We also have a managed print services contract. We have a large fleet of close to thirty multifunction printers from various different makes, manufacturers, care providers. We'd like to consolidate that so we can reduce our on-hand stocks and reduce the cost of servicing those. And finally, we have a renewal on the existing contract of our customer assistance system. Currently it allows us to collaborate with the rest of the members on the teams from the cities when we have customer issues that of course span across our various agencies and municipalities, and it also allows us to continue providing automatic

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vehicle location data via NextRide so that when people text us and say where's my bus, they get an answer telling them how long it will be until it arrives. Again, I have a summary slide here at the end indicating purchase mechanisms, costs, and funding percentages. And finally I, of course, request that you allow Scott the authority to execute on these various items to make sure that we are providing the best possible service to our clients both internal and external when it comes to our technology services. Thank you very much ladies and gentlemen. Do you have any questions for me? Mr. Smith said Madam Chair, if I might also add one thing, at the management committee meeting the managers requested that we engage some of your city professionals in reviewing this program. And Phil and Rob Antoniak spent a great deal of time with City of Phoenix IT Department going over this plan and they -- Phil, tell them what the result -- they concurred with this plan. Mr. Ozlin said yes. I'm sorry. I did skip past that. We did speak to Matthew Avery with the City of Phoenix as well as his deputy, went over the items that we've put here before you today, answered his questions that he had regarding that, and he indicated to us that he had no further questions, issues or reservations with what we were looking to accomplish with these funds. Councilmember Yates said is there any salvage value to the old equipment that you're replacing? Mr. Ozlin said yes, there is some salvage value to the equipment which we are replacing. There's no policy for salvaging it. Currently I've been working with our finance department to put something together, but it looks like it's going to be depending on the equipment itself, its use, and its age, between 2 to 10 percent. Councilmember Hartke said just in looking at the broad package, it seems like some things naturally either do like a contract or renewal and some others as a broad overhaul, but with some of the existing contracts were they due to -- you mentioned one of them was kind of at the end of its life, but some of the others are not. Are we, in essence, negating some of their value by bundling this complete package together, or is there much loss related to that? Do you understand my question? Mr. Ozlin said I do, yes. No. Everything that we are looking to replace is either at end of life meaning that the manufacturer no longer provides any service or support for it or our needs have passed beyond the capability of the software to support it and we are suffering service issues because of that ability gap. So moving forward with this we will not be losing any value in cutting off the use of any particular piece of software or hardware.

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Chair Klapp said any others? Okay. I believe we should just bundle these four sub items into one motion unless someone disagrees. So could I have a motion? IT WAS MOVED BY COUNCILMEMBER GLOVER, SECONDED BY VICE MAYOR WILLIAMS AND UNANIMOUSLY CARRIED TO APPROVE THE INFORMATION TECHNOLOGIES SOLUTIONS IN ITS ENTIRETY. 7. Executive Session Item not heard. 8. Executive Session Action Items Item not heard. 9. Travel, Expenditures, and Solicitations Chair Klapp said we'll move on to Travel Expenditures and Solicitations. Again, this is for information only. Are there any questions or comments? 10. Future Agenda Items Request and Report on Current Events Chair Klapp said the final item, are there any future agenda item requests from any of the member cities, or do you want to report on something that's happening in your city to the Board? Okay. Seeing none, we will adjourn. With no further discussion the meeting adjourned at 11:51 a.m.


DATE AGENDA ITEM 4A May 10, 2018 SUBJECT Off-Site Records Storage Services PURPOSE To request authorization for the Chief Executive Officer (CEO) to execute a contract with Iron Mountain Information Management LLC (Iron Mountain) to provide offsite records storage services to Valley Metro for 5 years, with three one-year extension options. Costs for the initial year are $82,860 with a 10% contingency of $8,286. The total contract value will not exceed $132,574. RPTA costs will not exceed $66,287 and VMR costs will not exceed $66,287. BACKGROUND/DISCUSSION/CONSIDERATION. Valley Metro retains documents required by law or regulations based on a retention schedule meeting state and federal requirements. Documents such as, as-built construction documentation, vehicle specifications, financial records and many others are often required to be kept at least seven years, and in some cases indefinitely. Valley Metro currently stores hundreds of document boxes onsite, as well as uses three different locations to store off-site records (Iron Mountain, Access and Archive Records Storage Center). Valley Metro’s current contract with Access will expire on June 30, 2018. Accommodating several years of documents onsite and three different offsite locations is logistically cumbersome, consumes staff time and increases costs. Valley Metro continues to have a need to centralize, digitize, and secure records. Storing records off-site will increase the security of required hard copy documents. Retaining Iron Mountain to electronically scan and store all documents and when required physically store original documents is an effective way to reduce onsite record storage. Additionally, Valley Metro’s risk is reduced while protecting critical documents from damage, loss or destruction caused by unforeseen events such as flood or fire. Services with Iron Mountain were procured using Maricopa County’s 10097-RFP Offsite Records Management, Storage and Destruction. COST AND BUDGET The cost of the contract will be divided between RPTA and VMR. The initial contract year will be $82,860 with up to a 10 percent contingency, bringing the total first-year contract to $91,146. The contract will not exceed $132,575 over the eight-year contract period.

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COMMITTEE PROCESS RTAG: April 17, 2018 for information TMC/RMC: May 2, 2018 approved Boards of Directors: May 17, 2018 for action STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020:

• Goal 2: Advance performance based operation o Tactic C: Deliver projects and services on-time/on-budget. o Tactic E: Maintain strong fiscal controls to support Valley Metro’s long- term sustainability.

RECOMMENDATION Staff recommends that the Boards of Directors authorize the CEO to execute a contract with Iron Mountain Information Management LLC to provide off-site records storage services to Valley Metro for 5 years, with three one-year extension options. Costs for the initial year are $82,860. The total contract value will not exceed $132,574. RPTA costs will not exceed $66,287 and VMR costs will not exceed $66,287. CONTACT Rob Antoniak Chief Operating Officer 602.495.8209 [email protected] ATTACHMENT None


DATE AGENDA ITEM 4B May 10, 2018 SUBJECT Microsoft Enterprise License Agreement Reconciliation Order PURPOSE To request authorization for the Chief Executive Officer (CEO) to purchase additional Microsoft Enterprise licensing. BACKGROUND/DISCUSSION/CONSIDERATION Staff has completed a review of the Agency’s Microsoft license quantities to ensure our licensing agreement is reconciled with the number of users of the software. The review accounts for changes in usage in the previous 12 months along with any license usage not identified in previous annual reconciliations. The review of Microsoft licenses identified the need to purchase additional licenses per the attached table. The cost of the licensing is $146,100 with an additional $14,610 (10%) contingency to meet the Agency’s obligation under the Microsoft Enterprise Agreement (EA). Staff has also used this opportunity to negotiate the use of Office 365 with Microsoft that moves the agency from on-site applications to online applications that allow staff to use the Microsoft productivity software and related services anywhere. This action reduces the cost of the current annual reconciliation with Microsoft by 32.5% and facilitates the Agency’s migration to the Cloud. COST AND BUDGET

Purchase Vendor Contract Cost Microsoft Annual Reconciliation Order (ARO)

CDW-G State Contract : ADSPO17-149774

$160,710

Subtotal $160,710 The Microsoft EA ARO carries a cost of $161,100, which includes a contingency amount totaling $14,650. The RPTA portion will total $80,550 and the VMR portion will total $80,550. All costs in FY18 are included in the RPTA Revised FY 2018 Operating and Capital Budget.

Information Summary

2

COMMITTEE PROCESS RTAG: April 17, 2018 for information TMC/RMC: May 2, 2018 approved Board of Directors: May 17, 2018 for action STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020: • Goal 2: Advance performance based operation

o Tactic C: Deliver projects and services on-time/on-budget RECOMMENDATION Staff recommends that the Board of Directors authorize the CEO to spend an amount not to exceed $161,300 to purchase Microsoft licenses. CONTACT

Rob Antoniak Chief Operating Officer 602-495-8209 [email protected]

Phil Ozlin Manager, Information Technology 602-495-8253 [email protected]

ATTACHMENT License Summary

License Summary

Microsoft Product Current Shortfall Initial Cost Recurring (Est.)

Core Client Access License (CAL) 300 148 $2,735.04 $2,735.04

Office 300 148 $31,649.80 $31,649.80

Windows Server 55 -

Windows Remote Desktop Services User CAL 20 53 $6,383.85 $1,595.96

SQL Server 22 23 $75,440.92 $18,860.23

SQL Server User CAL 45 -

Exchange Server 4 -

Exchange Server Enterprise CAL 300 -

SharePoint Server 1 -

SharePoint Server CAL 100 -

Project 3 4 $1,135.16 $1,135.16

Visio 3 45 $6,516.90 $6,516.90

Visual Studio Professional 0 4 $21,586.48 $5,396.62

Visual Studio Standard 0 1 $600.88 $150.22

*Microsoft licensing yearly cost subject to change in FY19 as the existing Enterprise Agreement expires and staff negotiates a new Enterprise Agreement for the next three years to include converting all applicable existing licenses to Office 365.

Total Costs: $146,100 $68,040

FY18 Yearly Recurring Cost: $195,400

FY19+ Yearly Recurring (Est.*): $263,440


DATE AGENDA ITEM 4C May 10, 2018 SUBJECT 2018 Transit Life Cycle Program Update PURPOSE To present the draft 2018 TLCP Update for approval. BACKGROUND | DISCUSSION | CONSIDERATION The TLCP was developed in 2005 to provide guidance for the implementation of the transit component of the Regional Transportation Plan. The TLCP includes Guiding Principles, policies, procedures and financial forecasts to ensure that the program can be balanced. Information presented in the TLCP is a 20-Year summary encompassing the life of the Transportation Excise Tax authorized in Prop 400. The draft 2018 Bus and Rail TLCP Update were discussed through the Valley Metro committee process in April 2018. There have been no significant changes to the programs from what was presented in April. Below are summaries of the Bus and Rail elements. Bus Program The fund balance at the end of the program is anticipated to be about $12.8 million, down from $25.1 million in the 2017 update. The following table summarizes the changes in fund balance.

Comparison of Net Revenues 2018 Update

2017 Update Change

Operations Revenue $2,045.9 $2,063.7 ($17.7)

Capital Revenue $1,076.2 $1,040.8 $35.4 Total Revenue $3,122.1 $3,104.4 $17.7 Operations Expenditures $1,746.9 $1,757.6 ($10.7)

Capital Expenditures $1,362.5 $1,321.1 $41.4 Total Expenditures $3,109.4 $3,078.7 $30.7 Net Revenues less Expenditures $12.8 $25.7 ($13.0)

Information Summary

2

The TLCP Guiding Principles require that jurisdictional equity be maintained for the bus program. The policy allows that each sub-region can be within 2.5 percent above or below their policy allocation. In the current model, all sub-regions are within this policy allowance. Additionally, the policy allows that regardless of sub-regional percentages, no jurisdiction can be under-allocated by $7.5 million or more. In the current model no jurisdiction meets that condition.

Jurisdiction Equity Summary

by Sub-Region (millions of dollars)

March 19, 2018

Sub-Region Total

Calculated PTF

Total Policy PTF

Allocation

JE Under (JE Over)

Percent of JE

Calculated Central $434.0 $438.2 $4.2 1.0% East $781.4 $783.6 $2.2 0.3% West $161.7 $158.9 ($2.8) -1.7% $1,377.1 $1,380.7 $3.6 0.3%

Rail/High Capacity Transit Program Currently, the rail program baseline financial model is balanced, with a surplus of $105.4 million remaining. The following table summarizes the costs and revenues for the rail program.

TLCP Totals

Funding Surplus / Shortfall

Total Program Revenues $3,866.2 Total Base Program Cost ($3,423.2) Funding surplus before PTF utility expenses and financing $443.0 Non Prior Right Utility Relocations ($291.7) ($291.7) Financing Needs anticipated: Proceeds Debt Service

Series 2009 $55.5 ($77.6) Series 2014 $135.4 ($156.9)

Advance Funds by Phoenix $60.0 ($62.3) Total Financing $250.9 ($296.8) ($45.9) Total Program Cost 2026 ($3,760.8) Net Fund Balance $105.4

3

COST AND BUDGET The proposed changes to the TLCP have been incorporated into the proposed FY2019 Operating and Capital Budgets and the Five-Year Operating and Capital Forecasts. Revenues and expenditures forecast within the TLCP are balanced as required by State Statute. COMMITTEE PROCESS RTAG: April 17, 2018 for information TMC/RMC: May 2, 2018 approved Boards of Directors: May 17, 2018 for action STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020: Goal 2: Advance performance based operation

• Tactic E: Maintain strong fiscal controls to support Valley Metro’s long-term sustainability

Goal 3: Grow transit ridership

• Tactic A: Expand and improve transit services to reach new markets • Tactic B: Improve connectivity of transit services for greater effectiveness

RECOMMENDATION Staff recommends that the Board of Directors approved the 2018 TLCP Update. CONTACT Paul Hodgins Chief Financial Officer 602-523-6043 [email protected] ATTACHMENT None



DATE AGENDA ITEM 5 May 10, 2018 SUBJECT Fare Collection System PURPOSE To provide an update on the development of a Request for Proposals for a new Fare Collection System for the region and options for addressing reduced fare abuse. BACKGROUND | DISCUSSION | CONSIDERATION The City of Phoenix and Valley Metro purchased and installed a new fare collection system for the region in 2008. The system, from Scheidt & Bachmann (S&B), includes fareboxes on buses and ticket/fare vending machines on the light rail line. The principal fare media are magnetic-striped, paper passes, valid for one to 31 days. The system includes a smartcard component, however the smartcards are only used for the employer-based Platinum Pass program. The magnetic stripe coding and smartcard encryption are proprietary to S&B. Any changes to the system, including fare changes, must be done by S&B. Over the past 10 years, there has built up a significant network of retail outlets for the passes. One of the consequences of this is that reduced fare passes have become very easy to purchase. The use of reduced fare passes has increased dramatically over those years. While it is likely that the population of riders who are eligible for reduced fare has increased, the dramatic increase in usage suggests that there is likely some abuse of the reduced fares. This is one of the key reasons that the region decided to increase the technical capacity of the fare collection system to manage sales at the point of sale, rather than enforce on the bus or light rail vehicle. In 2015, Valley Metro initiated a study to explore technical upgrades for the fare collection system. Valley Metro hired CH2M (now Jacobs) to analyze proposed upgrades, determine practical alternatives, and identify key elements to consider for implementation, such as mobile ticketing and more widespread use of smartcards. Valley Metro’s goals for the project were to maximize the current system while exploring additional ways to improve fare collection. After extensive work with S&B, it became clear that incremental improvements built upon the existing fare collection system could not provide the full range of new technology options available in the current market. In 2017, Valley Metro and the City of Phoenix rebooted the process with the assumption that a new fare collection system

Information Summary

2

would be the best alternative to achieve the desired technology improvements. This decision has implications for fare policy, cost and timing. In cooperation with the City of Phoenix, Valley Metro has hosted numerous vendor demonstrations. The demonstrations included vendors in the traditional fare collection market (such as Genfare and Scheidt & Bachmann) along with vendors with specific technologies for mobile tickets, smart cards, parking meters, and mobile payment technology companies. The resultant recommendation is for a new system with open architecture. This means that Valley Metro and the City of Phoenix would own the keys and dictate how hardware would interact with the back end software. This will allow for the use of generic hardware that meets the technical requirements. The new system would also move away from magnetic-striped, paper passes toward electronic fare media, including mobile tickets and smartcards. The account-based electronic fare media will allow for greater control of reduced fares at the point of sale. The technical specifications for the new system continue to be developed. A Request for Proposals is expected to be ready by summer. Proposals would be due in late summer with a recommendation on a vendor, or series of vendors, anticipated by early 2019. The new system is expected to be rolled out in three phases, outlined below. Technology Recommendations Phase 1 - Mobile Ticketing with Validators. This phase will deploy mobile ticketing regionwide for fixed route bus and light rail services. The validators will recognize the mobile tickets and will also validate smart cards. Phase 2 – Smartcard, TVM and Retail Network. Creates an account-based smartcard system with extensive retail network for purchases and reloads. This phase includes the purchase and installation of new ticket vending machines along the light rail line with options for streetcar and new light rail extensions. Phase 3 - Optional Farebox Replacement. Replace the existing, aging farebox with new low-cost farebox to allow for cash payments on the fixed route bus system. Alternatively, existing fareboxes could be reconfigured to only accept cash. Implementation of Phase 1 technology is anticipated within 24 months of contract award. Implementation of subsequent phases will be negotiated with the successful vendor with an emphasis on implementing Phase 2 as soon as possible. Phase 2 is critical to implementing the proposed Reduced Fare ID. The early estimate for the full cost of the new system is $32 to $53 million. This is a very wide range which will be narrowed down over the coming months as the specifications

3

are develop for the RFP. Some of the funding for the project has been identified (federal and local). Additional funding may be available through existing projects, such as new TVMs for light rail extensions under construction or replacement buses that come with new equipment. As the specifications are finalized, the cost will be better estimated along with identifying any existing funding. Valley Metro, the City of Phoenix and Maricopa Association of Governments (MAG) are working cooperatively to identify new sources of funding for this critical project. Fare Policy Implications Implementation of the new fare collection system affords the opportunity to re-evaluate the existing fare policy. Existing magnetic stripe based fare media would be eliminated in favor of mobile tickets and smartcard based media. Reduced Fare ID – In order to better manage the reduced fare media, the Board will be asked to adopt a mandatory Reduced Fare ID. The ID would be incorporated into a smartcard which would hold the reduced fare. Confirming eligibility of each reduced fare user and issuing an ID that is combined with their fare instrument will allow for control of reduced fares at the point-of-sale. The Board may be asked to re-evaluate which populations would be eligible for reduced fares. Stored Value – The smartcard system will allow for stored value which could eliminate the need for time based media (such as 7-day and 31-day passes). The cards could be developed with fare capping, meaning that a single ride fare would be deducted with each use up to a set cap. The caps could be set as daily, weekly or monthly such that the capping takes the place of selling the time based media. Intermediate Measures As it relates to mitigating any reduced fare abuse, several intermediate measures could be implemented during the period that the smartcard system is being developed and installed.

• Adopt the mandatory Reduced Fare ID policy and re-define eligible populations if needed

• Enforce checking of IDs for eligibility at the point of sale. Alternate IDs would be allowed until the Reduced Fare ID system were fully implemented

• Reduce the number of retail outlets • Initiate a public information campaign regarding use of the proper fare • Increase enforcement of reduced fare eligibility at the point of use

COST AND BUDGET Costs for the project are estimated at a rough order of magnitude of between $32 and $53 million. This is a wide range given that many of the technical specifications have not been fully defined. The City of Phoenix, Valley Metro and MAG staff are working cooperatively to identify federal, regional and local funding to support the project.

4

COMMITTEE ACTION RTAG: April 17, 2018 for information TMC/RMC: May 2, 2018 for information Boards of Directors: May 17, 2018 for information RECOMMENDATION This item is presented for information only. CONTACT Paul Hodgins Chief Financial Officer 602-523-6043 [email protected] ATTACHMENT None


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1

Fare Collection SystemMay 2018

Current Fare Collection System

• Implemented in 2008

• Scheidt & BachmannoFareboxesoTicket/fare vending machinesoStand-alone validators

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2

Fare Media

• Cash

• Paper receipt

• Magnetic-stripe paper passes

• Smartcard

Goals for new fare collection system

• Electronic fare mediaoAccount based

• Control at the point of sale

• Flexibility and expandability

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3

Reduced Fares

• Reduced fare pass usage has risen

• Enforcement at the point of use is a challenge

• Control at the point of saleo Reduced Fare ID integrated with fare media

2015 Origin & Destination Survey

of riders surveyed met the reduced fare eligibility requirements

27%27%Age16%

Disability11%

Not Eligible73%

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4

FY 2015 Reduced Fare Pass Use

of magnetic stripe passes used and single rides were reduced fare

49%49%Reduced

Fares49%

Full Fares51%

Regional Pass Use Trend - Combined

20%

30%

40%

50%

60%

70%

FY15 FY16 FY17 FY18

ALL DAY PASS

FULL REDUCED

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5

Regional Pass Use Trend - Combined

20%

30%

40%

50%

60%

70%

FY15 FY16 FY17 FY18

ALL DAY PASS

BUS FULL BUS REDUCED RAIL FULL RAIL REDUCED

Estimated Fare Loss ScenariosFY16 - FY18(Jan)

FULL REDUCED RAIL BUS SYSTEM

70% 30% ($3,145,000) ($8,908,000) ($12,053,000)

65% 35% ($2,376,000) ($7,286,000) ($9,662,000)

60% 40% ($1,607,000) ($5,664,000) ($7,271,000)

55% 45% ($837,000) ($4,041,000) ($4,878,000)

50% 50% ($68,000) ($2,419,000) ($2,487,000)

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Implementation

• Phase 1 – Mobile Ticketing with Validators

• Phase 2 – Smartcard, TVM and Retail Network

• Phase 3 – Farebox Upgrade

Project Schedule

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7

Project Costs

• Total Project Costs $32M - $53M

• City of Phoenix and Valley Metro will share costsoFederal funds might be available

• City of Phoenix will lead the procurement

Near Term Actions

• Policy changeo Required Reduced Fare IDo Enforce checking at point of sale

• Increase awareness and enforcemento Public awareness campaigno Reduce availability through retail outletso Enforcement at point of use


DATE AGENDA ITEM 6 May 10, 2018 SUBJECT Fiscal Year 2018 3rd Quarter Reports PURPOSE To provide an informational update of activities at Valley Metro. BACKGROUND | DISCUSSION | CONSIDERATION Quarterly Reports are provided as an informational update of Valley Metro activities

• Operations • Safety and Security • Finance

• Capital and Service Development • Communication & Strategic Initiatives • Marketing

COST AND BUDGET None COMMITTEE PROCESS TMC/RMC: May 2, 2018 for information Boards of Directors: May 17, 2018 for information RECOMMENDATION This item is presented for information only. CONTACT Ray Abraham Chief Operations Officer [email protected] Adrian Ruiz Director of Safety and Security [email protected] Paul Hodgins Chief Financial Officer [email protected]

Wulf Grote, P.E. Director of Capital & Service Development [email protected]

Hillary Foose Director, Communications & Strategic Initiatives [email protected] Rob Antoniak Chief Operating Officer [email protected]

Information Summary







4/26/2018

1

Fiscal Year 2018Quarterly Report

May 2018

2

Regional Ridership

FY18 Q2 FY17 Q3 FY18 Q3

Bus 13,287,446 12,827,759 13,193,245

Light Rail 4,042,913 4,207,531 4,033,302

Total 17,330,359 17,035,290 17,226,547

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

July Aug Sept Oct Nov Dec Jan Feb MarBus 3,421,580 4,466,578 4,433,776 4,650,941 4,448,737 4,187,768 4,456,280 4,242,654 4,494,311

Light Rail 1,173,622 1,387,778 1,365,280 1,462,623 1,331,737 1,248,553 1,351,769 1,273,131 1,408,402

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3

Fixed Route Bus – East Valley

Performance Indicator Target FY18 Q2 FY17 Q3 FY18 Q3

On-Time Performance ≥ 92% 91% 91% 92%

Complaints Per 100,000 Boardings

≤ 45 54 49 51

Mechanical Failures Per 100,000 Revenue Miles

≤ 12 4 5 3

Revenue Service Completed ≥ 99.85% 99.96% 99.94% 99.97%

Preventable Accidents per 100,000 Miles

≤ 0.90 0.89 0.45 0.74

Ridership -- 3,730,039 3,699,278 3,731,098

Fixed Route Bus – West Valley*

4



Valid Complaints Per 1,000 Boardings

≤ 0.25 0.16 0.17 0.14

Miles Between Road Calls ˃ 5,000 7,739 11,481 14,735

Revenue Service Completed ≥ 99.85% 99.99% 99.96% 99.96%

Preventable Accidents per 100,000 Miles

≤ 1.50 0.99 0.76 0.32

Ridership -- 131,930 133,017 139,083

*Express, & Circulator Service Only

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Light Rail

5



Complaints Per 100,000 Boardings ≤ 3.0 0.8 0.4 0.3

Preventative Maintenance Inspections -% On-Time (LRV)

≥ 80% 100% 100% 100%

Preventative Maintenance Inspections -% On-Time (Systems)

≥ 80% 98% 100% 99%

Preventable Accidents per 100,000 Miles ≤ 0.90 0.10 0.37 0.00

Ridership -- 4,042,913 4,207,531 4,033,302

Customer Service – Call Center

6


Calls Received -- 312,313 307,382 322,287

Complaints Processed -- 9,097 6,582 8,993

NextRide Inquiries Handled by Interactive Voice Response (IVR)

-- 230,106 296,667 236,937

NextRide Inquiries Handled by Text Messaging

-- 603,529 485,252 707,934

Average Talk Time -- 2:26 2:08 2:28

Average Speed of Answer ≤ 1.00 :23 0:18 0:18

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Bus Accidents

7

70

92

83

4 3

1

FY18 Q2 FY17 Q3 FY18 Q3

Total NTD

Police Incidents - Bus

8

14

5

7

2

7

3

Total Incidents Criminal Damage Other

Q3Q2

4/26/2018

5

Rail Accidents

9

8

16

11

8

15

11

0

2

4

6

8

10

12

14

16

18

FY18Q2 FY17Q3 FY18 Q3

NTD

Fares Inspected

10

539,030562,062 556,177

FY18 Q2 FY17 Q3 FY18 Q3

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Fare Inspections and Fare Evasions

11

Fare ComplianceTotal Inspections for Q3= 556,177

12

93% 94% 93%

FY18 Q2 FY17 Q3 FY18 Q3

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Citations Issued by Allied Universal

13

1,259

273

994

FY18 Q2 FY17 Q3 FY18 Q3

Top Violations

14

1305

288

1503

555

61

229

FY18 Q2 FY17 Q3 FY18 Q3

Fare Violations Disobey Traffic Signals

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8

Fare Sweeps Total Activity

15

9

288

527

135

26

TOTAL FARE SWEEPS CITATIONS ARREST (WARRANT)

FY18 Q2 FY18 Q3

The purpose of a fare sweep is to ensure fare compliance and revenue recovery. Fare Sweeps are conducted with the support of sworn officers.

Off Duty Program – Mesa PD

16

Off Duty Activity ‐ Mesa PD Alcohol Violations

Fare Violation

Trespass

GuidewayViolation

Warrant

Fare Inspection

Code of ConductWarnings

Positive Feedback

Assault 0%

Alcohol Violations 2.7%

Fare Violations 39.6%

Trespass 6.2%

Guideway Violation 3.8%

Warrant 7.7%

Fare Inspection 24.9%

Code of Conduct Warnings 5.8%

Positive Feedback 3.4%

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Off Duty Program – Tempe PD

17

Off Duty Activity ‐Tempe PDAlcohol Violations

Fare Violation

Trespass

Guideway Violation

Warrant

Fare Inspection

Code of ConductWarnings

Positive Feedback

Assault 0%

Alcohol Violations 1.9%

Fare Violations 6.8%

Trespass 3.3%

Guideway Violation 4.9%

Warrant 2.1%

Fare Inspection 69.9%

Code of Conduct Warnings 4.7%

Positive Feedback 3.8%

Criminal Activity

18

Criminal Activity FY18 Q2 FY17 Q3 FY18 Q3

Property CrimesSystem 8 42 6

Park N' Ride 0 5 1

Crimes Against PersonsSystem 40 23 42

Park N' Ride 1 0 0

Code of Conduct System 233 144 375Park N' Ride 11 14 45

Activity FY18 Q2 FY17 Q3 FY18 Q3

Medical ResponsesSystem 200 196 247

Park N' Ride 4 4 2

Warrant ArrestsSystem 19 13 24

Park N' Ride 0 0 0

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19

20

4/26/2018

11

Quality Assurance• South Central Extension

• Planning pre-audit meeting for two reviews• Reviewed PMOC comments on PQP

• Tempe Street Car• Reviewed SWI’s internal quality control audit #2• Pre-audit meeting scheduled for April

• Gilbert Road Extension• Pre-audit meeting in March, audit scheduled for April

• 50th Street Station• Reviewed SWI’s internal quality control audit #2• Pre-audit meeting scheduled for April

21

Valley Metro RPTA Operating Results – Q3

22

RPTA Budget vs. Actual Report $ Millions

For the quarter ending March 31, 2018

3rd Quarter Year to Date

Operations Expenditures Budget Actual

Variance

(Unfav.) Budget Actual

Variance

(Unfav.)

Fixed Route Bus 23.7 22.8 0.9 71.1 68.1 3.0

Paratransit 9.7 8.7 1.0 29.1 26.1 3.0

Vanpool 0.2 0.2 0.0 0.7 0.6 0.1

Regional Services 3.2 2.7 0.4 9.5 7.5 2.0

Planning 0.6 0.5 0.1 1.9 1.2 0.7

Administration 0.9 0.8 0.1 2.6 2.4 0.2

METRO Rail (Salary, Fringe, OH) 5.4 4.4 1.0 16.3 13.9 2.4

Total Operations Expenditures 43.7 40.1 3.6 131.2 119.7 11.5

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Valley Metro RPTA Capital Results – Q3

23

RPTA Budget vs. Actual Report $ Millions



Capital Expenditures Budget Actual

Variance


Variance

(Unfav.)

Bus Purchases

Valley Metro 13.3 8.7 4.6 39.8 20.7 19.2

Lead Agency 1.4 0.0 1.4 4.3 0.0 4.3

Paratransit Vehicles

Lead Agency 0.1 0.0 0.1 0.4 0.0 0.4

Vanpool Vehicles 1.2 1.2 0.0 3.5 3.8 (0.4)

Other Capital 3.1 2.0 1.1 9.3 3.7 5.7

METRO Rail 10.9 11.1 (0.2) 32.6 27.9 4.7

Total Capital Expenditures 30.0 23.0 7.0 89.9 56.1 33.8

Valley Metro RailOperating Results – Q3

24

VMR Budget vs. Actual Report $ Millions

For the quarter ending March 31, 20183rd Quarter Year to Date

Operations Expenditures Budget Actual

Variance


Variance

(Unfav.)

Rail Operations 12.0 10.2 1.8 36.0 30.4 5.6

Future Project Development 5.2 1.7 3.5 15.5 5.7 9.9

Agency Operating 0.4 0.3 0.1 1.2 0.9 0.3

Total Operating Activities 17.6 12.2 5.4 52.7 36.9 15.8

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Average Rail FareFY 2017 History / FY 2018 3rd QuarterAverage Fare – 12 Months Rolling by Quarter

25

Budget $0.85

$0.81 $0.82 $0.79 $0.78 $0.77

$0.50

$0.55

$0.60

$0.65

$0.70

$0.75

$0.80

$0.85

$0.90

$0.95

$1.00

FY17‐Q3 FY17‐Q4 FY18‐Q1 FY18‐Q2 FY18‐Q3

Average Fare Per Ride

Q3 Q3

Fare Revenue Budget $3,699,000 Fare Recovery Budget 30.9%

Fare Revenue Collected $3,178,000 Fare Recovery Actual 31.3%

Variance ($521,000)

Valley Metro RailCapital Results – Q3

26

VMR Budget vs. Actual Report $ Millions



Capital Expenditures Budget Actual

Variance


Variance

(Unfav.)

Rail Projects

Central Mesa 1.0 0.3 0.7 1.8 0.8 1.0

Tempe Streetcar 17.2 6.9 10.3 33.0 18.0 15.0

Gilbert Rd 18.7 18.7 (0.1) 48.2 43.3 5.0

50th St LRT Station 3.0 1.5 1.5 8.2 3.7 4.4

South Central 11.9 6.5 5.4 23.1 12.6 10.5

OMC Expansion 1.1 0.0 1.1 1.1 0.0 1.1

System‐wide Improvements 5.3 5.9 (0.6) 9.2 6.2 2.9

Total Capital 58.1 39.8 18.3 124.6 84.7 39.9

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Transit Planning Projects

27

Project/Study NameCompletion

Date Status

Mesa Five-Year Transit Plan April 2018 Incorporated all Mesa Transit Plan changes into the Short Range

Transit Program.

Short Range Transit Program April 2018 Final draft complete. Scheduled for April RPTA Board of Directors meeting.

Scottsdale Circulator Service Optimization Study

January 2017 Submitted final memo to City of Scottsdale staff. Project complete.

Transit Stop Inventory and Accessibility Study

April 2018 Completed cost estimate for ADA improvements to Valley Metro bus

stops. Drafted final technical memo.

Transit Stop Inventory Reconciliation with Bus Stop Database

May 2018 Verifying bus stop amenities and locations for use in on-line maps. Preparing bus stop photos for on-line publishing.

Transit Planning Projects

28

Project/Study NameCompletion

Date Status

April 2018 Fixed-Route Service Changes April 2018 Implementation underway.

October 2018 Fixed Route Service Changes

October 2018 Prepared final list of proposals. Scheduled public input process.

ASU Student Survey June 2018 Completed final report and presented findings to Board Making plans to conduct additional follow-up surveys in April. A supplemental LRT report will be prepared.

Bus Stop and Light Rail Accessibility Geofencing

March 2018 Developed geofences around all bus stops and light rail stations. Undergoing accessibility testing from an independent testing

consultant.

Quality of Life Study Fall 2018 Study will communicate the community benefits of VM Light Rail

over the past 10 years. Presented an a project update to the Leadership Team.

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ProjectProject

CompleteCurrent Phase

Phase Complete

Status

Northwest LRT

Extension Phase II

2023Environmental/

PreliminaryEngineering

Summer2018

Advancing engineering to 30% design level. Updating Draft 3 of Environmental Assessment per FTA review.

Capitol/I-10 West LRT Extension

2023 (Phase I)

Environmental Assessment (EA)

Spring 2020

Analyzing Phase I LPA alignment modification to coincide with the South Central Extension.

Stakeholder outreach regarding downtown configuration. EA to be updated based on phasing and downtown configuration.

West Phoenix

2026Alternatives

AnalysisDecember

2018 Coordinating next steps with Phoenix and MAG and will be updating

schedule.

Paratransit O&M Facility

StudySpring 2019

Site Selection and Analysis

Summer 2018 Completed first tier of two-tiered site selection process Beginning second tier analysis for eight sites, including conceptual site

layouts.

29

Corridor and Facilities Planning

30

ProjectProject


Phase Complete

Status

North Glendale Park-and-Ride Study

January 2019

Site Selection June 2018

Completed a two-tiered evaluation site selection process to recommend a single site (at 75th Ave/Loop 101) that meets the park-and-ride requirements for North Glendale.

Final Report on site selection process under review.

Fiesta District

Alternatives Analysis

June 2019Alternatives

AnalysisJune 2019

Finalizing Purpose and Need memo and Analysis Methodology Report. Identified alternatives that will be evaluated. Initiating Tier 1 Evaluation process.

Northeast LRT

Feasibility Study

2034Feasibility

StudySpring 2018

Finalizing study recommendations. Preparing Final Report.

I-10/I-17 Direct

Access Bus Ramp

TBD Planning Spring 2018 Coordinating with ADOT and Phoenix on next steps regarding preferred

bus ramp option.


4/26/2018

16

31

ProjectProject


Phase Complete

Status

Arizona Avenue

Alternative Analysis

February2020

Existing Conditions

June 2018

Held a project kick-off meeting Finalizing the scope of work and schedule Coordinating efforts with the Chandler Transportation Master Plan

Update starting late spring 2018

Tempe / Mesa

Streetcar System Study

March 2020 Project Initiation May 2018

Finalized scope of work, budget, schedule and funding agreements Tempe and Mesa Council and Valley Metro Board approvals anticipated

in April Kick-off meeting scheduled May 3, 2018

OMC Expansion

2021 Procurement Summer 2018 Two teams were prequalified during the RFQ process. Waiting for proposals; due in March. This project becomes a capital project beginning next quarter.

Peoria Park-and-Ride June 2019 Final Design August 2018

City of Peoria completed right-of-way acquisition. Business tenant anticipated to relocate by July 2018.

Initiated Final Design task. This project becomes a capital project beginning next quarter


32

Project Complete

Current PhasePhase

CompleteStatus

2019 Construction(42% complete)

Spring 2019 • Completing closeout process for Stockyards parking lot• Continuing installation of water main • Completed 90% design of Operator Restroom Facility

50th Street Station

Data as of 31MAR18 For more details, visit valleymetro.org

4/26/2018

17

50th Street Station Expenditures to Date

33

Description Expended ($M)

Contracted Services $ 5.2 Right of Way $ 0.1 Professional Services $ 1.8

Total $ 7.1

Project ContingencyDescription Dollars ($M)

Total Contingency $ 4.6Executed Change Orders & Budget Transfers $ (2.5) Total Project Contingency Remaining $ 2.1

Data as of 31MAR18

34

Gilbert Road ExtensionProject


Phase Complete

Status

2019 Construction(56% complete)

Spring 2019 • Crews are installing new concrete curb, gutter, and sidewalk in preparation for guideway excavation

• Catenary pole foundations, guideway drainage system, and systems duct bank are being installed

• Guideway curb installation has begun where infrastructure is complete


4/26/2018

18

Gilbert Road Extension Expenditures to Date

35


Contracted Services $ 58.6

Light Rail Vehicles $ 5.2

Right of Way $ 8.7

Professional Services $ 8.1 Total $ 80.6


Total Contingency $ 10.7 Executed Change Orders & Budget Transfers $ (2.7) Total Project Contingency Remaining $ 8.0

Data as of 31MAR18

36

Project Complete

Current PhasePhase

CompleteStatus

2023 Design(43% complete)

Summer 2019 Overall project design completed to approximately 50% Submission of 40% Systems and 100% IFC Triple 7

Improvements design plans

South Central Extension


4/26/2018

19

South Central Extension Expenditures to Date

37



Right of Way $ 0.1

Professional Services $ 2.3

Total $ 12.0


Total Contingency $ 216.7Executed Change Orders & Budget Transfers $ (2.4)Total Project Contingency Remaining $ 214.3

Data as of 31MAR2018

Tempe Streetcar

38

Project Complete

Current PhasePhase

CompleteStatus

2020 Final Design and Pre-

Construction(84% complete)

Winter 2018 90% Design Pre-Final Package received March 2018 Rail Welding Completed March 2018 GMP price has been established


4/26/2018

20

Tempe Streetcar Expenditures to Date

39



Vehicles $ 3.5

Right of Way $ 0.1

Professional Services $ 14.8

Total $ 25.7

Description Dollars ($M)

Total Contingency $ 37.5

Executed Change Orders & Budget Transfers $ (1.6)Total Project Contingency Remaining $ 35.9

Project Contingency

Data as of 31MAR2018

Communications Update

40

• Coordinated PR/media for Respect the Ride & associated Board approval

• Celebrated bus service expansions in Oct. 2017 with media events & marketing

• With Operations, conducted Mesa Polar Express across two weekends‒ Served 6,000+ families

• Finalized three-year agreement with Miller Coors to provide Coors Light Free Rides on New Year’s Eve

• Conducted re-training of front-line staff for Safe Place, teens in need program

4/26/2018

21

Community Relations Update

41

• Began recruitment for Tempe Streetcar Shop On Rewards business assistance program

• Planned business assistance program lunches along Gilbert Road Ext. (GRE) with Friends of Transit

• Developed holiday/Shop On mailers supporting businesses along GRE & 50th Street Station

• Conducted public meetings/outreach for:‒ Fiesta District Alternatives Analysis‒ Tempe Streetcar with “Streetcar Syncs”‒ Preparation for South Central Ext. meetings in

Jan. 2018

Marketing Update

42

• Launched upgraded valleymetro.org & Ridekick mobile application

‒ Offering mobile responsiveness & increased ADA accessibility

• Developed brand & draft marketing plan for Respect the Ride campaign

• Installed “Find Your Whimsy” mural at Roosevelt/Central station as part of ArtsLine program

• Created materials for service change implementation in Oct. & proposal in April


DATE AGENDA ITEM 7 May 10, 2018 SUBJECT Travel, Expenditures and Solicitations PURPOSE The monthly travel, expenditures and solicitations are presented for information. BACKGROUND/DISCUSSION/CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None RECOMMENDATION This item is presented for information only. CONTACT Paul Hodgins Chief Financial Officer 602-262-7433 [email protected] ATTACHMENTS Valley Metro Travel Reimbursement Report Valley Metro RPTA and Valley Metro Rail Monthly Accounts Payable over $25,000 Active Requests for Proposals, Qualifications and Invitations for Bids

Information Summary


Valley MetroTravel Reimbursement Report

For Travel Completion Dates3/26/18 through 4/25/18

Job Title Purpose of Travel Location Dates Traveled Total Travel Cost Airfare Other

Transport Lodging Meals Misc.

Government Relations Officer

APTA Legislative Conferenc Washington, DC 3/17/18-3/21/18 $2,311.31 $544.60 $42.45 $1,510.76 $213.50 $0.00

Chief Executive Officer

Meet with FTA and Arizona Congressional delegation Washington, DC 1/24/18-1/26/18 $1,172.93 $473.41 $50.86 $485.74 $120.92 $42.00

1

Chief Executive Officer

APTA Transit CEOs Seminar Miami, FL 2/9/18-2/13/18 $2,259.52 $502.61 $35.63 $1,419.28 $232.00 $70.00

1

Chief Executive Officer SWTA Conference Denver, CO 3/4/18-3/6/18 $1,103.81 $463.61 $9.00 $431.70 $157.50 $42.00

1

Security Coordinator

Required FTA/TSSP Course 3/4/18-3/10/18 $1,733.83 $491.48 $24.00 $866.35 $352.00 $0.00

Design Manager AzTA ADOT Conf. Tucson, AZ 4/8/18-4/9/18 $320.21 $0.00 $151.50 $108.21 $60.50 $0.00 Quality Assurance Program Coordinator Gillig Site Visit Livermore, CA 3/18/18-3/30/18 $3,412.69 $619.96 $391.71 $1,494.87 $862.50 $43.65

2

General Counsel2018 APTA Legal Affairs Seminar Palm Springs, CA 2/24/18-2/27/18 $1,496.62 $400.59 $23.77 $929.76 $50.50 $92.00

1,3

Capital Development Manager

APTA Leadership Class Washington, DC 3/15/18-3/22/18 $3,780.92 $768.59 $13.00 $2,643.83 $355.50 $0.00

Bus & Paratransit Fleet Facilities Coordinator Gillig Site Visit Livermore, CA 3/18/18-3/22/18 $1,511.42 $619.96 $0.00 $580.96 $310.50 $0.00 Sr. Management Analyst

AzTA Annual Transit Conference Tucson, AZ 4/8/18-4/10-18 $342.76 $0.00 $108.58 $216.42 $17.76 $0.00

Sr. HR Specialist EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,752.84 $405.39 $0.00 $1,010.85 $264.50 $72.10 3,4

Safety Specialist EnoMAX Atlanta, GA 4/16/18-4/20/18 $1,573.82 $509.05 $27.59 $808.68 $228.50 $0.00 Public Information Specialist EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,877.89 $509.05 $2.50 $1,010.85 $264.50 $90.99

3,4

Director of Communication & Marketing EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,847.58 $465.23 $57.00 $1,010.85 $264.50 $50.00

3

Chief Operations Officer

RailVolution Steering Committee Pittsburgh, PA 4/17/18-4/20/18 $1,056.79 $352.96 $73.65 $441.18 $189.00 $0.00

Planner IIAPA National Conference New Orleans, LA 4/20/18-4/24/18 $2,134.18 $654.49 $48.71 $1,142.98 $288.00 $0.00

Valley MetroTravel Reimbursement Report

For Travel Completion Dates3/26/18 through 4/25/18

Job Title Purpose of Travel Location Dates Traveled Total Travel Cost Airfare Other

Transport Lodging Meals Misc.

Facilities Maintenance Manager EnoMAX Atlanta, GA 4/16/18-4/20/18 $1,500.32 $405.39 $0.00 $808.68 $236.25 $50.00

3

Assistant Superintendent LRVM EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,787.75 $483.90 $3.50 $1,010.85 $264.50 $25.00

3

Business Services Delivery Manager EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,807.24 $481.89 $0.00 $1,010.85 $264.50 $50.00

3

Planning ConsultantESRI Public Sector Conference Denver, CO 4/9/18-4/12/18 $944.51 $273.97 $18.00 $428.04 $224.50 $0.00

Service Analyst II EnoMAX Atlanta, GA 4/15/18-4/20/18 $1,832.39 $507.04 $0.00 $1,010.85 $264.50 $50.00 3

Systems Engineer Siemens Plant Visit Sacramento, CA 4/16/18-4/18/18 $989.73 $537.39 $0.00 $292.34 $160.00 $0.00 LRV Maintenance Supervisor Siemens Plant Visit Sacramento, CA 4/16/18-4/18/18 $1,369.29 $537.39 $206.29 $454.50 $160.00 $11.11 2

LRV Maintenance Supervisor

Conceptual Design Review Pittsburgh, PA 4/22/18-4/25/18 $1,285.01 $507.48 $255.24 $304.11 $178.50 $39.68

2

Systems EngineerConceptual Design Review Pittsburgh, PA 4/22/18-4/25/18 $953.55 $470.94 $0.00 $304.11 $178.50 $0.00

Assistant Superintendent LRVM

Conceptual Design Review Pittsburgh, PA 4/22/18-4/25/18 $691.35 $208.74 $0.00 $304.11 $178.50 $0.00

Planner INTD Urban Reporting Oakland, CA 4/17/18-4/22/18 $700.02 $190.60 $20.00 $316.92 $172.50 $0.00

Report reflects Out of State (AZ) Travel1 Parking2 Fuel for Rental Car3 Baggage4 Seat Assignment Costs

Valley Metro Rail, Inc.Monthly AP Payments over $25,000

March 21, 2018 to April 20, 2018

Document Number Name Transaction Description Effective Date Transaction Amount

20180329W008 Siemens Industry Inc. Milestone B1 LRV Acquisition Program 3/29/2018 7,516,932.58

20180413W Stacy and Witbeck-Sundt JV GRE Feb. 2018 Gilbert Road Light Rail Extension 4/13/2018 4,101,539.75

20180321W Alternate Concepts Inc. Feb 2018 Transportation Services 3/21/2018 769,121.86

20180419W003 Stacy and Witbeck, Inc. Feb. 2018 Tempe Streetcar Project 4/19/2018 662,214.54

20180419W Allied Universal Security Services March 2018 Fare Inspection and Security Services 4/19/2018 406,927.39

20180329W Allied Universal Security Services Feb 2018 Fare Inspection & Security Services 3/29/2018 405,506.11

20180405W001 Stacy and Witbeck, Inc. Feb 2018 50th ST Station 4/5/2018 404,476.61

20180321W003 Kiewit Infrastructure West Co. Feb 2018 S Central Extension - Preconstruction 3/21/2018 204,763.89

20180329W005 DMS - Facility Services, Inc. Feb 2018 Facility and LRV Cleaning Services 3/29/2018 177,184.55

20180419W002 DMS - Facility Services, Inc. March 2018 Facilities and LRV Cleaning Services 4/19/2018 177,184.55

V20180331 APS March 2018 Utilities 3/31/2018 172,709.65

20180412W001 Hill International, Inc. Feb. 2018 Tempe Streetcar PMCM Services 4/12/2018 164,015.85

20180412W001 Hill International, Inc. Feb. 2018 FY 2017 Program Management 4/12/2018 151,273.63

20180329W006 PB-Wong Joint Venture Feb 2018 Task 19 Project Management Construction Management 3/29/2018 145,370.60

20180321W004 USBC Real Estate LLC April 2018 101 Bldg Lease 3/21/2018 123,573.14

20180321W002 City of Mesa Feb 2018 GRE Costs Reimbursement #31 3/21/2018 118,053.38

20180329W004 City of Mesa GRE Costs Reimbursement #32 3/29/2018 115,753.76

030727 Hans van Meeuwen, LLC 9 Fabrication 4/4/2018 113,000.00

030770 RPTA Pymt for RPTA, but Original Check made out to and deposited by VMR 4/10/2018 71,149.04

20180412W001 Hill International, Inc. Feb. 2018 FY2017 Program Management 4/12/2018 69,688.93

V20180351 SRP March 2018 Utilities 3/31/2018 69,149.35

030704 Aconex (North America) Inc. Jan. 2018 Project Controls Systems Services 4/4/2018 63,742.13

030656 APL Access & Security, Inc. Day/Night Dome Cameras 3/28/2018 62,528.18

20180329W002 ARCADIS Feb 2018 Task 24 Consulting Support Services 3/29/2018 62,371.49

20180329W005 DMS - Facility Services, Inc. Feb 2018 Facilities Maintenance Services 3/29/2018 56,822.48

030679 MAC Products, Inc. Disconnect Switches 3/28/2018 49,459.95

20180419W002 DMS - Facility Services, Inc. March 2018 Facilties Maintenance Services 4/19/2018 47,938.70

030773 United Right-of-Way Feb. 2018 Facilities Landskeeping Services 4/10/2018 43,668.02

20180329W002 ARCADIS Feb 218 Task 29 Consulting Support Services 3/29/2018 41,236.80

030717 City of Phoenix March 2018 Fare Handling Fee 4/4/2018 38,907.00

041518 Wells Fargo March 2018 Wells Fargo Credit Card Purchases 4/15/2018 36,313.11

20180405W Gannett Fleming, Inc. Feb. 2018 50th St. Design Services 4/5/2018 35,788.14

030727 Hans van Meeuwen, LLC 8 Fabrication - Gilbert Road Extension 4/4/2018 33,000.00

030823 URW, LLC March 2018 Facilities Landskeeping Services 4/18/2018 32,836.93

20180329W002 ARCADIS Feb 2018 Task 7A Consulting Support Services 3/29/2018 31,929.24

20180412W001 Hill International, Inc. Feb. 2018 50th St Station PMCM Services 4/12/2018 26,890.87

030764 Interior Solutions OMC Office Modifications 4/10/2018 26,115.18

030701 UTCRAS LLC Set 1 Gearbox Axle Overhaul 3/28/2018 25,643.80

16,854,781.18

Valley Metro Regional Public Transportation Authority

Monthly AP Payments over $25,000

March 21, 2018 to April 20, 2018

Document

Number Name Transaction Description Effective Date

Transaction

Amount

20180329W002 FirstGroup America, Inc. Feb. 2018 Fixed Route Bus Service - Unification 3/29/2018 5,027,543.34

20180419W001 City of Phoenix April 2018 FR Bus Service, DAR, FR Svc Op Support 4/19/2018 2,221,306.83

20180412W004 Transdev Services, Inc Jan 2018 Regional Paratransit Services 4/12/2018 1,312,207.43

20180419W003 Gillig, LLC 6771 Gillig Low Floor CNG Transit Bus, 40 Ft. 4/19/2018 546,037.00



20180413W ADP PPE 4-8-18 Wages Payable - Reverse Wire 4/13/2018 523,195.39

20180330W ADP PPE 3/25/18 Wages Payable - Reverse Wire 3/30/2018 516,431.79

20180329W006 United Healthcare April 2018 EE Dental, Medical & Vision Coverage 3/29/2018 375,124.34

20180413W ADP PPE 4-8-18 Federal, State, SS/Med EE/ER Tax - ACH 4/13/2018 205,495.51

20180330W ADP PPE 3/25/18 Federal, State, SS/Med EE/ER Tax - ACH 3/30/2018 201,813.07

20180329W005 Total Transit Enterprises, LLC Feb. 2018 Zoom (Avondale) Bus run 3/29/2018 115,717.02

38248 Valley Metro Rail Reimburse VMR for Receipts Deposited on City of Tempe

Check paying Invoices from Both Entities

4/11/2018 106,198.08

20180330W001 ASRS PPE 3/25/18 ASRS Contributions Employee 3/30/2018 91,948.25

20180330W001 ASRS PPE 3/25/18 ASRS Contributions Employer 3/30/2018 91,948.25

20180413W001 ASRS PPE 4-8-18 ASRS Contributions Employee 4/13/2018 91,578.39

20180413W001 ASRS PPE 4-8-18 ASRS Contributions Employer 4/13/2018 91,578.39

20180329W005 Total Transit Enterprises, LLC Feb. 2018 Vee Quiva Bus Run 3/29/2018 72,521.74

04152018 Wells Fargo Wells Fargo Credit Card Purchases March 2018 4/15/2018 69,174.64

20180329W005 Total Transit Enterprises, LLC Feb 2018 Glendale Express Bus Run, Maintenance Costs 3/29/2018 67,959.97

20180419W004 Second Generation, Inc. dba Ajo Transportation March 2018 Rural Connector Route 4/19/2018 57,441.23

20180329W005 Total Transit Enterprises, LLC Feb. 2018 Zoom (Avondale) Bus 3/29/2018 52,013.66

R20180331W002 City of Mesa March 2018 Utilities 3/31/2018 51,168.40

20180322W002 CopperPoint Mutual Insurance Company c/o

Knight Management

April 2018 Call Center and Mobility Center Rent 3/22/2018 50,140.76

38224 Creative Bus Sales Inc. 49230 2018 Ford Transit Van Silver 4/11/2018 47,314.11

38162 C.A.R.E Evaluators, Inc. January 2018 Paratransit Evaluation Costs 3/28/2018 41,828.97

38224 Creative Bus Sales Inc. 49216 2018 Ford Transit Van Silver (with 5 Extra Keys) 4/11/2018 41,213.21

38224 Creative Bus Sales Inc. 49218 2018 Ford Transit Van Silver (with 5 extra keys) 4/11/2018 41,213.21

38224 Creative Bus Sales Inc. 49220 2018 Ford Transit Van Silver (with 5 extra keys) 4/11/2018 41,213.21



Page 1 of 2

Valley Metro Regional Public Transportation Authority

Monthly AP Payments over $25,000

March 21, 2018 to April 20, 2018

Document

Number Name Transaction Description Effective Date

Transaction

Amount












38162 C.A.R.E Evaluators, Inc. Feb. 2018 Paratransit Evaluation Costs 3/28/2018 37,384.62

20180329W001 Creative Software Solutions/MJM 2/1-2/15/18 Estimated Taxi Trips 3/29/2018 35,816.63

38204 Steer Davies & Gleave Inc. March 2018 Website Redesign & Development 4/4/2018 32,931.60

38271 Eno Transportation Foundation, Inc. Group Membership 50% Payment 4/18/2018 32,250.00

38252 AlphaVu, LLC 5-month Engagement Consultant Support 4/13/2018 30,500.00

38211 AlphaVu, LLC 5-month Engagement Consultant Support 4/11/2018 30,500.00

38200 Moses, Inc. Feb 2018 Marketing and Advertising 4/4/2018 30,070.17

38196 Knowledge Services Feb. 2017 IT Services Consultant 4/4/2018 29,444.50

20180329W001 Creative Software Solutions/MJM March 2018 Ride Choice Management Fees 3/29/2018 25,291.66

20180412W001 Creative Software Solutions/MJM April 2018 Ridechoice Management Fees 4/12/2018 25,291.66

20180329W002 FirstGroup America, Inc. 8070 Transmission Mid-Life Overhaul 3/29/2018 25,079.65

Total 14,104,854.57

Page 2 of 2


DATE AGENDA ITEM 8 May 10, 2018 SUBJECT Future Agenda Items Request and Report on Current Events PURPOSE Chairs Klapp and Glover will request future agenda items from members, and members may provide a report on current events. BACKGROUND/DISCUSSION/CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None RECOMMENDATION This item is presented for information only. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None.

Pending Items Request

Item Requested Date Requested Planned Follow-up Date

Information Summary



May 10, 2018 Valley Metro Board of Directors

Thursday, May 17, 2018 Lake Powell Conference Room 101 N. 1st Avenue, 10th Floor

11:15 a.m. 1. Public Comment on Agenda Action Items (blue card) The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

Action Recommended 1. For Information

2. Minutes Minutes from the April 19, 2018 Board meeting are presented for approval.

2. For action

3. Future Agenda Items Request and Report on Current Events Chair Klapp will request future agenda items from members, and members may provide a report on current events.

3. For information

4. Next Meeting The next meeting of the Board is scheduled for Thursday, June 21, 2018 at 11:15 a.m.

4. For information

Qualified sign language interpreters are available with 72 hours notice. Materials in alternative formats (large print, audiocassette, or computer diskette) are available upon request. For further information, please call Valley Metro at 602-262-7433 or TTY at 602-251-2039. To attend this meeting via teleconference, contact the receptionist at 602-262-7433 for the dial-in-information. The supporting information for this agenda can be found on our web site at www.valleymetro.org

Agenda



DATE AGENDA ITEM 1 May 10, 2018 SUBJECT Public Comment on Agenda Action Items PURPOSE The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided. BACKGROUND | DISCUSSION | CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None RECOMMENDATION This item is presented for information. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None

Information Summary



May 10, 2018 AGENDA ITEM 2



11:15 a.m. RPTA Meeting Participants Councilmember Suzanne Klapp, City of Scottsdale (Chair) Councilmember Kevin Hartke, City of Chandler (Treasurer) Councilmember Pat Dennis, City of Avondale (phone) Councilmember Eric Orsborn, City of Buckeye Vice Mayor Bob Jones, City of El Mirage Councilmember Cecil Yates, Town of Fountain Hills Councilmember Brigette Peterson, Town of Gilbert Supervisor Steve Gallardo, Maricopa County Councilmember Chris Glover, City of Mesa Vice Mayor Jon Edwards, City of Peoria (phone) Vice Mayor Thelda Williams, City of Phoenix Councilmember Skip Hall, City of Surprise Vice Mayor Robin Arredondo-Savage, City of Tempe Councilmember Linda Laborin, City of Tolleson Mayor Michael LeVault, Town of Youngtown Mayor Everett Sickles, Town of Wickenburg Members not present Vice Mayor Lauren Tolmachoff, City of Glendale (Vice Chair) Councilmember Bill Stipp, City of Goodyear Chair Klapp called the meeting to order at 11:51 a.m. We'll move now to the RPTA Board of Directors Meeting. So we'll go directly to Public Comment. This is the blue cards for RPTA only. And the only card we have is from Blue. 1. Public Comment on Agenda Action Items Mr. Crowley said thank you, Madam Chair. There is a whole lot of actions that you guys are going to be doing, and I'd love to comment on all of them, but I'll try to make it more specific. One of them is the contract for the farebox. It was interesting that when they did the upgrade the amount of time that it took them and such and the amount of money that it cost. I believe that we painted ourselves into a corner by making these the only vendor

Minutes

2

that we're using. I believe that we, if we did when we're doing all those trips and such, check with some of the other communities and find out what is the farebox of the future and the way that we should be using it. On to agenda Item 3H. The Short Range Transit Plan. I don't see in there -- and if you look at the document that they say, well, we're using to get these things done. I asked Pat if I could get a copy of it here. I didn't bring my own -- where many of your communities in '19, and we're talking Surprise, El Mirage, Glendale, Peoria, Phoenix, Avondale, Tolleson that all of your routes were supposed to be extending out to Litchfield. Now I was in Avondale and I did see buses out pass Litchfield and such, so part of it is being done and accomplished, but I don't see it in here until 2023. There are a bunch on the last page of it. Also, you know, that I'm a bicycle advocate. I'm the one that got the bike racks put on the buses originally with two and a half years of enjoying hanging out with Thelda and the rest of the gang to make it happen, but there are other parts of it such as the connectivity on the Grand Avenue bike route. A part of the short range transit plan was to put a $3 million bridge when you do the upgrade to the freeway. And, one, when are we going to do the upgrade to the freeway? I don't care, and I don't see a three-million-dollar bridge as the answer, even though it has been taken back out. What needs to be done is the connectivity and to do a tunnel right there along the canal just like you've got a tunnel at Metrocenter. It's not that hard of an engineering task to do. And it would do connectivity on the bike route that comes from the west side to, where, oh, the freeway. And then it starts up again on the other side of the freeway going all the way into Scottsdale. Y'all have a pleasant, and I'll see you at the rail. 2. Minutes Chair Klapp said the Minutes from the February 22 board meeting are presented for approval. May I have a motion regarding the minutes? IT WAS MOVED BY COUNCILMEMBER GLOVER, SECONDED BY VICE MAYOR ARREDONDO-SAVAGE AND UNANIMOUSLY CARRIED TO APPROVE THE FEBRUARY 22 BOARD MEETING MINUTES. 3. Consent Agenda Chair Klapp said next are the consent agenda items. This is 3A through 3H listed on the agenda. And is there any item here that someone would like to remove to the regular agenda? Okay. Then I will entertain a motion for approval of Items 3A through 3H.

3

IT WAS MOVED BY COUNCILMEMBER PETERSON, SECONDED BY COUNCILMEMBER ORSBORN AND UNANIMOUSLY CARRIED TO APPROVE THE CONSENT AGENDA. 4. Proposed October 2018 Transit Service Changes Chair Klapp said we will move on to Item No. 4. This is the regular agenda. The Proposed October 2018 Transit Service Changes. Mr. Smith, would you like to introduce this item? Mr. Smith thank you, madam chair. Members of the board, twice a year we, in April and October, we make formal changes to our system. And this is the beginning of the October cycle, so to speak. So I'd like to introduce Carol Ketcherside who will present to you the very, very first overview and draft of changes that have been discussed by many of the working groups that will come back to you more than one time before you have final action. This is, once again, your first glance of this for our October service changes. Carol. Ms. Ketcherside said thank you, Mr. Smith. Madam Chair, members of the Board, I'm going to make a very high-level presentation about this and I'm not even going to cover all the slides that are in your packet. If there's anything in there that you would like to discuss in more detail, I would be more than happy to do that. I do have all those maps ready to go if you want to talk about any of those, but the primary focus of this presentation is for information only. We're about to embark on a public comment period for proposed route changes, and we want you to be aware of these changes that are being discussed in the event that you get questions about these items. The changes here represent the combined proposals throughout the Valley Metro system. We've worked closely with your staff members through a number of channels that are listed -- oh, I should be advancing these slides. Sorry -- that are listed here. And the changes that are currently proposed, if they are recommended to move forward, they would take place in October of 2018. The public input process will run from April 30 to June 1, and it will help to shape the final recommendations that will come back before you. Once we have those final recommendations, the changes that affect RPTA: IGAs, RPTA operated service, and Prop 400 funded service will come back to this Board for approval. Anything that's outside of those will go through other appropriate channels for approval. This maps shows all of the proposed changes to the system regardless of the operator or the funder, because we are taking everything out at once to the public for comment. I'm going to summarize at a very high level, so if you have something you'd like to go through in more detail, let me know.

4

A really good news story is that we proposed to reinstate regular weekday local service levels on all local routes on five of what we call the minor holidays that are listed here. The five holidays listed, as I said, are considered minor holidays, but a lot of people work on these days. Historically, these days had enjoyed regular non-holiday level of service. During the recession these holidays were cut back to holiday levels of service as a means of balancing budgets. Your staff on the service planning working group has worked very hard to identify funding to make it possible to restore local service levels on these holidays. And just to note this proposal does not include changing the service levels on express routes or RAPID routes. Mr. Smith said Carol, if you could, explain briefly what that means going from holiday service to regular service. Ms. Ketcherside said sure. Regular service is what we operate on local routes Monday through Friday on a normal day. Holiday service matches Sunday levels of service. So when we're running holiday service on a holiday, it looks like Sunday service. If we're running regular service, it looks like any other weekday on these. Mr. Smith said and Sunday service means bus routes go from thirty minute to sixty minute. The hours are shrunk and things like that. Ms. Ketcherside listed here are route modifications and the cities in which they're proposed to take place. You have the details in your packet, so if you'd like me to go into any of those in detail, I'd be happy to do that. These are the routes on which we propose frequency modifications. Frequency modification meaning it's either -- the bus will either come more often or less often. And in fact on Route 41, its increased frequency which means it comes more often. Route 72 we're proposing decreased frequency, the bus will come less often. In other changes, there is a new circulator route proposed in Scottsdale. And in tandem with this, there are three existing circulator routes in Scottsdale that are proposed to be consolidated into two circulator routes. The BUZZ circulator in Mesa is proposed to add evening service on Monday through Saturday. And there are three routes that are proposed for some schedule adjustments. As I mentioned, these are all proposals. We are embarking upon the public outreach phase of this process. We'll be seeking public input on all these changes to help facilitate what our final recommendations would be. We have a number of avenues for the public to register their feedback that are listed here. And as I mentioned earlier, the final recommendations that affect RPTA funded service, IGAs, or operated service would come back to this Board for approval probably at your June Board meeting.

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So unless you'd like to delve into some details on anything that concludes my presentation, and I'd be happy to answer questions. Supervisor Gallardo said thank you, Madam Chair. Could you kind of give us a brief description in terms of how we are engaging the public. When we talk about public outreach, what does that look like, I guess. Ms. Ketcherside said yes, Madam Chair, councilmember, we have -- we take e-mails, you can do e-mail comments. All of this is on our Website. We have announcements on the buses and on the trains, so people are hearing that we're in this process. They're hearing that they can go to our Website and look for these changes. If they don't have access to the Internet, they can call us and we will make sure that they get that information. We accept there's a -- on our Website there's a page where they can directly input, they can send us e-mail, they can call us and verbally give us their comment. We have a Webinar on May 9. We also use social media. We're tweeting this information out so that people who get their information that way. And we have a formal public hearing on May 22. Supervisor Gallardo said and where's that public hearing at? Ms. Ketcherside said it will be right here in this room. Mayor LeVault said Madam Chair. Can you tell me what route modifications are proposed for Route 106 Peoria Avenue? Ms. Ketcherside said let me go to that map. Okay. So Madam Chair, councilmember, Route 106, the changes for that are really just in the way that that route goes through Metrocenter Mall. The changes that are being made are as they're depicted here. The one on the left is the way it operates now. The one on the right is what is proposed. And it's considered to just be a more efficient way of getting through the mall. Mayor LeVault said so, as that route traverses west through Glendale, Peoria and Youngtown no changes there; right? Ms. Ketcherside said that's correct. Yes. Chair Klapp said any other questions? Regarding your comment about public meetings, I don't know what all the other cities do, but we have a transportation commission, and we have a meeting scheduled this afternoon to go over the changes. Ms. Ketcherside said thank you, madam chair, I should have noted that. I will be there this evening. Mr. Smith said yes and thank you. In every one of your cities these changes are made through input through your staff who hear from you and hear from the public, so this is

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our formal process, but this in no way is the only formal process, because I know that a lot of the cities have review the changes within their individual cities and put those out for public comment also. Chair Klapp said okay. Thank you. This is just an information item, not an action item. 5. Valley Metro Fiscal Year 2019 (FY19) Preliminary Operating and Capital Budget Chair Klapp said we'll move on to the next agenda item which is Fiscal Year 2019 Preliminary Operating and Capital Budget. Mr. Smith. Mr. Smith said Madam Chair, you thought the CEO's report was exciting, I present to you Paul Hodgins. Mr. Hodgins said thank you, Mr. Smith, for that fabulous introduction. Madam Chair, members of the Board, this is an information item. It's a preliminary look, an overview at the budget. I do want to note particularly for new members on the Board, the RPTA budget can look a little bit complicated. There's numerous things that we do on behalf of our members or on behalf of Valley Metro Rail. As an example, RPTA is really the employer of record for all Valley Metro employees. So a lot of times activities that happen at Valley Metro Rail drive some of the staffing requests and some of the budget items, but they're really passed through. So we will highlight what some of those drivers are, but also note how reimbursements come back in. So we've tried to really isolate the RPTA budget versus what we call, you know, pass-through type or fiduciary-type responsibilities. So, we are continuing our existing strategic initiatives: We have our Respect the Ride; we have a Transit Asset Management Plan, which is an FTA mandate, which will really drive a lot of our state of good repair budgeting moving forward; our Shifting Gears, which is our staff development program, internally and ongoing evaluation of staffing needs. And I will note that the Board approved strategic plan is currently under review, and we'll be bringing that to the Board probably in the next six months for a refresh for an update for fiscal years '19 through '23. As I noted, one of the key drivers here is some staffing increases. We are looking for twelve new positions, but eleven of them will be funded directly by Valley Metro Rail. And those are being driven really by operating increases and capital budget increases on the rail side particularly Gilbert Road Extension will be opening in May of 2019, as well as the 50th Street Station, and then the Northwest Extension plus two new vehicle types on the rail side are really driving those eleven new positions for Valley Metro Rail. Just to touch on our baseline assumptions for what RPTA operates what we will be operating next year. On the fixed route side the service we’re providing is relatively flat.

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No significant increases. The restoration of some holiday services is probably the main one. I will note that we are projecting a slight increase in ridership. Our trend this year has been a little bit of an increase. In bus ridership we have about a 2 percent. On the flip side, though, we are projecting a slight decrease in fare revenues as our average fare per boarding continues to decline. And next month we'll be presenting some -- we'll have some discussion on fare technology and the reduced fare and some policy decisions we'll be making to help try to address some of those issues regarding the average fare. On the paratransit side, we are, again, looking at fairly flat and maybe a slight decrease in ridership. Operating costs are up about 5 percent. That's strictly really contractual increases that are built into our contracts for RideChoice and for the paratransit and the vanpool -- I think we have just over four hundred vans -- that's been fairly consistent, so fairly flat there. Overall look at our uses of funds, passenger services, fixed route, paratransit, and vanpool by far the largest category of 43 percent of our operating and capital budget. Capital activities would be next at 33 percent, agency administration down there at about 1 percent, debt service about 7 percent. It's a pretty much a view of the same information, but with some dollars attached. I will note the big increase in planning it's about a million and a half over the current budget. That's largely driven by the origin and destination survey that we do about every three to four years. We're planning to do that next year. It's about a million dollars to do that survey. So that's really driving that increase in the planning budget. So the overall RPTA operating that's really directed with the RPTA activities is about a 3 percent increase, $4.3 million. And as I noted, some of these pass-through type activities, the Valley Metro Rail personnel, so we employ them, that's a 1.6 percent increase. That's related to those eleven positions we would be hiring on behalf of Valley Metro Rail. We disburse some regional area road funds to Valley Metro Rail for planning support. And we also bring in some lottery funds. There's about eleven to eleven and a half million dollars a year that comes in. RPTA is the recipient of those, and we distribute those to all of our cities based on population. So again, that's more of a pass-through type look. So the overall, looking at both types of expenses combined, it's about a 3 percent increase, $6 million increase overall. On the uses of funds for capital, it's a decrease over fiscal '18 largely driven by fewer replacement buses. The fiscal '18 we had a significant number of replacement fleet that we were ordering. We'll have a good number next year, but reduced, so overall it's a about a 12 percent decrease in our capital budget.

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As far as the sources of funds for operating and capital, the main source is the public transportation fund. That's the 33.3 percent of the Prop 400 tax. And by policy of this Board, we split that between the bus program and the rail program, so you'll see public transportation funds 33 percent, that's the bus share. And then over -- the VMR public transportation funds, that's kind of the rail share of that, at 15 percent of the program. Transit service reimbursements are really the funds we get from our member cities who purchase service from us. Then you can see lottery funds, a small amount of federal funds that support the program. Again another look, just some minor changes, percentage-wise the biggest change is in the MAG funds. It's not a big dollar amount, but they are helping to support the origin and destination survey, so they're, I believe, providing $200,000, so that really is driving that seemingly large percentage increase in those funds. Sources of capital, all of our fleet replacement program is programmed to use federal funds. So federal funds are typically 80 to 85 percent of the purchase price of our fleet, in some cases as much as a hundred percent. So the decrease there is just strictly related to the decrease in the number of fleet. And then the PTF, again that's the funds that come in for rail that supports the rail capital programs, overall 12 percent decrease. As I noted some staffing changes, we did add four staff during fiscal '18 that were not in the budget largely project related for Valley Metro Rail, all of them reimbursed by Valley Metro Rail. Twelve new positions for fiscal '19, eleven of which, as I mentioned, are reimbursed by Valley Metro Rail. As far as the schedule, as I mentioned it's for information today. We do have -- we've had the Executive Summary of the budget posted on the Website for a couple of weeks. Just yesterday we posted the full budget, so we replaced the executive with our full budget, so that's out there. We would ask that member city comments come in by April 30. If we lag a couple days that's probably okay. We'd like to get an updated budget addressing any of the comments and questions by about mid-May. And then we'll come back through the June cycle for adoption. And that concludes my brief overview. I would be happy to answer any questions. Chair Klapp said are there questions? Yes, we have a question. Mayor LeVault said yes, thank you, Madam Chair. With our debt load, are there any opportunities to restructure or refinance in the current interest rate environment to reduce debt load? Mr. Hodgins said Madam Chair, mayor, not really. All of our debt is scheduled to be retired by July 1 of 2025, because of the expiration of the tax. We had done an advance refunding a couple years ago of some of the debt, so there's really not a whole

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lot of opportunity left to re-fund the remaining debt. There's just not -- wouldn't be a lot of savings there. Vice Mayor Jones said one quick question, Madam Chair, if I may. I noticed the federal grants was down considerably for your next year. What's the reason for that? Are there fewer grants, or what's going on in that area? Mr. Hodgins said Madam Chair, vice mayor, that's really related to the smaller capital program, so we have fewer fleet that we're replacing this year, so it's strictly on a percentage. We get about 80 to 85 percent of the cost of the bus back from the feds, so when we buy fewer vehicles, we get fewer federal funds coming back. Councilmember Peterson said Madam Chair, Paul, we had asked that you let us know when our cities actually received the budget so that they've had time to review to get the comments back. Has that happened yet? Mr. Hodgins said it was just posted late yesterday. I don't know if a notification has gone out, but we will make sure that an e-mail goes out to everybody so that they know -- with the specific links to the budget. Chair Klapp said other questions? Okay. Thank you very much. 6. 2018 Transit Life Cycle Program – Bus Update Chair Klapp said next item is the Transit Life Cycle Program. Mr. Smith. Mr. Smith said and Paul likes standing up there so much we're going to ask him to move right into this, which is our life cycle program. Just a brief introduction, our life cycle program is really our short- and long-term plan for how we provide services. It is primarily it's a requirement of Prop 400 and it's keyed toward the funds that are available. As you can imagine, as we've gone through the ebbs and flows the valleys and not a whole lot of peaks since 2005 when Prop 400 came in, we update this life cycle plan to match the projected funds that will be available through the end of the 20-year program, which is 2025. So Paul will now present to you the changes that will be presented to you formally -- he'll tell you when that will happen. But we go through this every year. We basically evaluate the programs that we have already in place. We look at the revenue projections. And our revenue projections for our taxes come from ADOT. They do the -- their economists do that and they do that for MAG and everybody -- they tell us what we can expect, and then we come to you working with your staff with what we might do. A lot of these, for example, these route changes and everything are part of our life cycle and are part of this whole process which is geared toward the 2025 date, which really is the life of transit -- base transit, I might say, in this region.

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Some of you have dedicated transit taxes, Tempe -- I think Tempe, Glendale, and Phoenix are the only three that have dedicated -- well, Glendale actually has a transportation tax, if I'm not mistaken, but the rest of you, the base service is the Prop 400 funds. So our plan is geared toward that life cycle and that becomes our life cycle. So with that background I'll turn it over to Paul. Mr. Hodgins said as noted, the Transit Life Cycle Program it refers really to the life cycle of the Prop 400 tax. It's not the life cycle of a capital asset that you'd normally think, so we look at the 20-year life of the tax. And we are statutorily mandated to ensure that each year we have enough revenues to support the planned expenditures through the end of the tax, which is the end of calendar 2025. So very quickly we'll look at the Prop 400 revenue forecast. As mentioned, we get that from ADOT. MAG uses the same forecast for the arterial and freeway life cycle programs, so we're consistent there. Talk a little bit about some of the operating and capital program changes, summary of the expenditures, summary of the revenues, and then jurisdictional equity. And I'll touch on that when we get there. Just a look at the revenues strictly for the bus program, so we have roughly 57 percent of the PTF that comes in as dedicated to the bus program. There are three lines of the start. The blue line is what we thought we were going to get when we started Prop 400. The green line is last year's forecast. The purple line is this year's forecast. Clearly as we move forward, many of these are actuals. So we have fiscal '18 through fiscal '26 are the forecasted. The drop in the last year is because that last fiscal year is only six months of revenues because the tax expires in December, so it's halfway through our fiscal year. So overall it's about a fourteen-million-dollar decrease in the 20-year forecast between from last year to this year. We're at probably $1.2 billion off the original forecast. Some of the operating program changes, as mentioned the holiday service we've reprogrammed that. Mr. Smith said if I could stop you right there. I keep reminding you of this, but I keep getting questions. Go back to that slide. If you're wondering why bus service in your particular community might have been impacted from the original Prop 400, that graph explains why. That was the impact of the recession. And in 2009 we went through a very painful rebalancing of our bus thing, and we haven't quite, as you can see, we haven't recovered nor will we recover the revenues anticipated when Prop 400 was put in place, which is the reason why our service and especially in outlying areas of our community, has never reached what we anticipated it would when Prop 400 was passed in 2004.

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So that right there explains it all over a billion dollars in revenue shortfall over the 20-year time period. Mr. Hodgins said thank you. So the short range transit program that we have, really the first two years are what we call committed, so any of the service improvements in the short range program that are in the first two years that are regionally funded would be included -- programmed in this year's update. The holiday service being the one of note. We update our contract rates, what we pay our direct contractors, also through the City of Phoenix we fund a good amount of service that the City of Phoenix operates. We make sure we update those. We update our inflation assumptions. We update our paratransit cost. As far as capital program changes, a couple of facility changes, the North Glendale Park-and-Ride we're working with Glendale to basically start over and redo their site selection, so the opening of that has been deferred a few years. Peoria had a transit center and a Park-and-Ride in the plan. They've elected to defer the transit center. We're moving forward with the Park-and-Ride, but we'll use the regional funds off the transit center and do some bus stop improvements for Peoria, so that change has been included. And there's some changes to the fleet plan, which I've provided a summary here. A little bit of an increase about just under 2 percent increase in the number. And again, this is over twenty years of fleet within the program. As far as the expenditures summary, and again, these are 20-year totals. Last year we're estimating about just under $3.1 billion. This year it's just slightly over $3.1 billion about a 1 percent increase in our cost. On the revenue side, about a half percent increase, various changes. Again, the increase in the federal is directly related to the extra vehicles. As I mentioned, most of that is funded by the federal government through FTA, so about $18 million or a half percent, six-tenths of a percent increase in our revenues. Which leaves for the cash flow summary, it's about a thirteen-million-dollar fund balance or unprogrammed funds at the end of the program. It's a little bit lower than we would like to see. That's essentially enough to fund our reserve for our operating needs. But it is positive, so we do have enough revenues to cover our planned expenses. The last slide on the jurisdictional equity, by policy we have three subregions: West Valley, East Valley and the Central, which is primarily Phoenix. And we look back at what was programmed for Prop 400 originally and how that was divided for the bus program specifically. So we maintain by policy that same percentage within two and a half percent, plus or minus, for each subregion. So overall we're positive. Each of the subregions is within the two and a half percent, so right now we are within the policy constraints for the jurisdictional equity.

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This is for information. I'd be happy to answer any questions. We will bring this back next month for approval. I'd be happy to answer any questions at this time. Chair Klapp said are there any questions? It does not appear to be thank you. Thank you. 7. Future Agenda Items Request and report on Current Events Chair Klapp said okay. Finally, are there any requested items for future agendas? Or does anyone want to report anything on activities in their city that relate to transit? Okay. Then our next meeting will be Wednesday, May 17, and I will take a motion to adjourn. With no further discussion the meeting adjourned at 12:23 p.m.


DATE AGENDA ITEM 3 May 10, 2018 SUBJECT Future Agenda Items Request and Report on Current Events PURPOSE Chair Klapp will request future agenda items from members, and members may provide a report on current events. BACKGROUND | DISCUSSION | CONSIDERATION None COST AND BUDGET None COMMITTEE PROCESS None STRATEGIC PLAN ALIGNMENT None RECOMMENDATION This item is presented for information only. Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None



Information Summary



May 10, 2018

Valley Metro Rail Board of Directors Thursday, May 17, 2018


11:15 a.m. Action Recommended

1. Public Comment On Agenda Action Items (Blue Card) The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided.

1. For Information

2. Minutes Minutes from the April 19, 2018 Board meeting are presented for approval.

2. For action

3. Downtown Transfer Hub - Public Art Services Contract Awards Scott Smith, CEO will request that the Board of Directors authorize the CEO to execute three contracts, selected by the SARCs, for Downtown Hub Public Art Services, within the South Central/Downtown Hub Light Rail Extension, for an amount not to exceed $676,500.

3. For action

4. Future Agenda Items Request and Report on Current Events

Chair Glover will request future RMC agenda items from members and members may provide a report on current

4. For information

Agenda

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5. Next Meeting The next meeting of the Board is scheduled for Thursday, June 21, 2018 at 11:15 a.m.

5. For information

Qualified sign language interpreters are available with 72 hours notice. Materials in alternative formats (large print, audiocassette, or computer diskette) are available upon request. For further information, please call Valley Metro at 602-262-7433 or TTY at 602-251-2039. To attend this meeting via teleconference, contact the receptionist at 602-262-7433 for the dial-in-information. The supporting information for this agenda can be found on our web site at www.valleymetro.org



DATE AGENDA ITEM 1 May 10, 2018 SUBJECT Public Comment on Agenda Action Items PURPOSE The public will be provided with an opportunity at this time to address the Board on all action agenda items. Up to three minutes will be provided per speaker to address all agenda items unless the Chair allows more at his/her discretion. A total of 15 minutes for all speakers will be provided. BACKGROUND/DISCUSSION/CONSIDERATION None COST AND BUDGET None

STRATEGIC PLAN ALIGNMENT None COMMITTEE ACTION None RECOMMENDATION This item is presented for information only. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None

Information Summary


May 10, 2018 Agenda Item 2



11:15 a.m. Meeting Participants Councilmember Chris Glover, City of Mesa (Chair) Vice Mayor Thelda Williams, City of Phoenix (Vice Chair) Councilmember Kevin Hartke, City of Chandler Vice Mayor Robin Arredondo-Savage, City of Tempe Chair Glover called the meeting to order at 12:24 p.m. Good afternoon. And welcome to the Valley Metro Rail Board meeting. The first item on the agenda is Public Comment on Agenda Items. We have one blue card. 1. Public Comment on Agenda Action Items Mr. Crowley said on the rail, I find it interesting the Tempe-Mesa study, it's on the rail that you're doing that, but you fund the streetcar with the transit, the bus moneys. How come this is? And why is it that you deal with it in rail rather than under the bus, since that's where you're getting the funding for this. It was something I brought up a while back when they said, oh, well, we're going to be using transit funds for the streetcar rather than rail funds, but you're dealing with it in the rail, and why aren't you using rail funds. I need every dime for bus and bus facilities and infrastructure. I don't need studies of three hundred thousand -- what is that -- thirty bus stops. And if you are going to be doing it take the funds from the rail. I mean, you got this on the rail agenda just to get those moneys from each of your cities, but then when you go to fund this, you went and did it with the bus funds. So I need my buses. On the Northwest extension, I still say that it should cross I-17 through the ACDC, but that isn't going to happen.

Minutes

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And the other action item, the Program Management/Construction Services Contract, are these the same people that are responsible for the derailment last month? Oh, yeah, whose fault was that? What reason is it? And what are you going to do about it as in that last derailment. Now if it was structurally, why have it that way. And also you go to all of these different conferences to find out how to run your own rail. Did any of you when you go there because of what Mr. Grote pointed out is we're going to have all these lines coming in and use all different lines that in all the other communities throughout the world they have a switch and it goes from one track to another. Now, if there was a problem with that derailment that was it a switch and such, build it better and let's get down to making it mag lev, too. See you later. Chair Glover said thank you, Mr. Crowley. 2. Minutes Chair Glover said the next item on the agenda are the Minutes from the February 22 board meeting are presented for approval. Can I get a motion and a second to approve? IT WAS MOVED BY COUNCILMEMBER HARTKE, SECONDED BY VICE MAYOR ARREDONDO-SAVAGE AND UNANIMOUSLY CARRIED TO APPROVE THE FEBRUARY 22, 2018 BOARD MEETING MINUTES. 3. Consent Agenda Chair Glover said the next item on the agenda is the consent agenda. Items are listed on the consent agenda for approval. Is there any item that a member would like to remove from the consent agenda? If not, can I get a motion and a second to approve the consent agenda? IT WAS MOVED BY COUNCILMEMBER HARTKE, SECONDED BY VICE MAYOR ARREDONDO-SAVAGE AND UNANIMOUSLY CARRIED TO APPROVE THE CONSENT AGENDA. 4. Valley Metro Rail, Inc. Fiscal Year 2019 (FY19) Preliminary Operating and

Capital Budget Chair Glover said the next item on the agenda is the Valley Metro Rail Fiscal Year 2019 Preliminary Operating Budget and Capital Budget. Mr. Smith. Mr. Smith said Mister Chair, I'll turn it back over to Paul for round two.

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Mr. Hodgins said thank you, Mr. Smith. Mister Chair, members of the Board, a quick overview of the preliminary budget for Valley Metro Rail. Some of the slides are redundant from the RPTA, so I'll skip through them rather quickly including the strategic initiatives. I do want to note there is an extra slide here on the Respect the Ride for the Valley Metro Rail. This question came up at the management committee. We have about $1.6 million in additional fare inspection and security costs related to Respect the Ride. So that is additional staff from Allied Universal: fare inspector, shift supervisors and such, plus some additional police department effort, so we just wanted to note that that was part of the increase in the budget was how much was directly related to Respect the Ride. Budget drivers, I mentioned, largely staffing related to Gilbert Road, 50th Street. As far as the baseline operations for light rail, it's about a 1 percent increase in the service delivered. And that is directly related to the Gilbert Road Extension. Passenger boardings flat. Boardings per mile down slightly, but this year we have seen a slight decrease in our light rail boardings, so with the additional service we're projecting that that's basically flat from this year. Fare revenues fairly flat. Operating costs up about 9 percent. Just a quick look at our capital project schedule. This is just really to note how many projects we're working on. We have three next year that will be in construction. We have four that will be in the design phase and a couple that are still in the planning phase, so it's just a lot of activity on the capital side, which is reflected in our chart on overall uses. You'll see 77 percent is related to capital activities and then 17 percent on passenger services. Overall rail operations, 9 percent increase, as I mentioned, Gilbert Road, 50th Street, additional Respect the Ride are the key drivers there. Decrease in our future project development that's because the projects we had been working on and planning this year are becoming capital projects next year, so we see them more in the capital budget. Overall it's a 2 percent decrease in our operating budget. And this is just a note on which projects are included in our planning budget. The big ones being Capitol I-10 West Phase I and the West Phoenix project and then some of our system planning down at the bottom. As far as the uses of capital, Gilbert Road and 50th Street Station decreasing as we wind down the construction get ready for the opening. South Central, Northwest Phase II, you'll see increasing significantly or starting in the case of Northwest Phase II,

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streetcar continuing at about $48 million, which is pretty consistent with this year. It's a overall about a $44-million increase or 23 percent increase in our capital budget. Overall look at the sources of funds, the largest source would be our member city contributions that drive most of the operating budget plus some of the capital budget. Federal funds about 34 percent that help support most of our capital budget, 11 percent from the public transportation fund, which supports the Prop 400 projects. Sources of funds on the operating side, again, the member city contributions is the big increase. Federal funds down a little bit that's just based on activities. It's not -- not that there are fewer federal funds out there; it's just fewer activities that are eligible next year. It's about a 2 percent decrease in our operating sources. Capital funds, big increase in our member city contributions largely related to South Central, which the city is funding initially until we can get a federal grant agreement. Some TPAN funds that's supporting the Gilbert Road Extension coming from the City of Mesa. Again, a note on the staffing changes, which I won't go over again unless there are questions. And again the schedule, looking for comments by the end of the month. We'll come back in June for approval. Just a very quick look at the overview. I'd be happy to answer any questions. Chair Glover said thank you, Paul. Are there any questions? None being, this was for information only. Thank you. 5. 2018 Transit Life Cycle Program - Rail Update Chair Glover said the next agenda item is the 2018 Transit Life Cycle Program update. Mr. Smith. Mr. Smith said I’ll give it to Paul to talk about that. Paul. Mr. Hodgins said thank you. Mister Chair, members of the Board, a quick look at the Valley Metro Rail Transit Life Cycle Program. There are probably a few more changes in this one than we had on the bus side. At a high level we had an updated cost estimate and an updated completion date for the streetcar. Our Operations Maintenance Center Expansion has a new cost estimate. The South Central Extension project really is a new project definition as we've added all of the downtown work, so we'll tentatively call it South Central/Downtown Work. So it's an updated cost estimate for that and updated cost estimate for Capitol/I-10 Phase I. And then we're changing the West Phoenix Central Glendale calling it West Phoenix as the Glendale portion has been deferred beyond Prop 400.

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Another look at our capital project schedule, the high-capacity transit map, we'll note the changes 2021 for the Tempe Streetcar opening. I think that's early. I think it's January, if I recall. And then you'll see the bubble around the West Phoenix Central Glendale corridor has been split, so we still have a 2026 opening for the West Phoenix piece, but the Glendale piece being deferred. As far as the Prop 400 rail revenues, it's essentially the same chart. On the rail side it's about an $11 million decrease in the 20-year forecast for PTF funds for rail. A couple of the other changes on the New Starts federal funding that support the major capital projects, because of the change to the South Central Downtown project. The increase in the cost we would be increasing our request from FTA by about a $128 million. The Capitol I-10 West Phase I, we had previously programmed as CMAQ and PTF local match. We are now looking at putting that through the Small Starts program, so we would ask for a hundred million which is the cap on the Small Starts program. And then a decrease of about $200 million because of the change in configuration of the West Phoenix project. We do have some changes proposed in how the public transportation funds are used. Last year's update we ended with just about eighty million dollars in unprogrammed funds. We would look to support the Tempe Streetcar, 50th Street, the OMC Expansion, and there are a couple of planning studies not noted, but I think it's about a million and a half dollars that we would be adding of PTF to support those projects moving forward. And then we have from the West Phoenix Central Glendale because of the reduction we would be adding fifty million back into unprogrammed. And then some other programming changes we have some savings on both the Central Mesa and the Northwest Phase I that we've now realized, so we add back in about $8.3 million. So we're looking at about a $105.4 million unprogrammed in 2025. So that would be available as we move forward on our other projects through the design and into the construction. If we have any increased costs, that $105 million would be available for those projects. Quick summary of the corridor costs, you can see some of the changes on the right side. Overall it's about a $46 million decrease, so just under $3.1 billion in corridor costs. On some of the other capital costs such as the light rail vehicle acquisition and the 50th Street Station, it's about a $7 million increase overall in those costs, so the total capital expenditures just over $3.7 billion for the rail program. And you can see some of the changes we discussed on the revenue side, slight decrease in the PTF and some of the other changes we discussed, leaving the overall

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cash flow summary $105 million left over unprogrammed by the end of the program and available for other projects, as I mentioned. So that's just a quick overview. This is for information and discussion. We will be bringing this back in May for approval pending any changes through discussions with the members. I'd be happy to answer any questions.

Chair Glover said are there any questions? Okay. Thank you, Paul. 6. Future Agenda Items Request and Report on Current Events Chair Glover said the next item on the agenda is Future Agenda Items Request or Reports on Current Events. If there are none, then our next meeting will be Thursday, May 17 at 11:15 a.m. Thank you. With no further discussion the meeting adjourned at 2:20 p.m.


DATE AGENDA ITEM 3 May 10, 2018 SUBJECT Downtown Hub - Public Art Services Contract Awards PURPOSE To request authorization for the Chief Executive Officer (CEO) to execute three contracts, selected by the Stakeholder Art Review Committees (SARCs), for Downtown Hub - Public Art Services for an amount not to exceed $676,500, which includes a 10% contingency. BACKGROUND/DISCUSSION/CONSIDERATION The Downtown Hub, a component of the South Central/Downtown Hub Light Rail Extension, will consist of one mile of new trackway, four additional station platforms and one Traction Power Substation (TPSS) within Downtown Phoenix. The Public Art Services Contracts will develop, design and install artwork at and around three of the station platforms, as well as the TPSS sites. The artists will work with the stakeholders to develop artwork that works within the environment and reflects the spirit of the project. The artists will collaborate with Valley Metro and City of Phoenix staff, the Design Consultant and the CM@Risk Contractor through the process of design and construction. A Request for Qualifications (RFQ) for Downtown Hub Public Art Services was issued on March 8, 2018. The RFQ solicited information in the form of Statement of Qualifications (SOQ) from experienced and emerging artists. In conjunction with Phoenix Office of Arts and Culture (POAC) and various local organizations, Valley Metro reached out to the arts community via a workshop. Additionally, two SARC’s were developed to select the artists. The SARCs are comprised of individuals active within the community. Valley Metro received 82 SOQs on April 12, 2018. The SOQs were evaluated and ranked by the SARC’s to determine Offerors who could successfully deliver the public art. The selection process by the SARC’s was completed on April 24, 2018, at which time the two evaluation panels selected the three artists best qualified to design, fabricate and install the art for Valley Metro. COST AND BUDGET The South Central/Downtown Hub Light Rail Extension Art Program is funded by regional Public Transportation Funds. The total art budget for the Downtown Hub is

Information Summary

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$676,500, and includes a 10% contingency to be held by Valley Metro. The cost for the three art contracts is included within the overall cost forecast established for the project. There are two station art contracts and one Traction Power Substation art contract.

Artist Area Cost Aphidoidea Station Enhancement $285,000 Janelle Stanley Station Wayfinding $285,000 Amanda Clayton Traction Power Substation $45,000 Contingency $61,500 Total $676,500

STRATEGIC PLAN ALIGNMENT This item relates to the following goals and strategies in the Five-Year Strategic Plan, FY 2016 – 2020: Goal 2: Advance performance based operation

• Tactic C: Deliver projects and services on-time/on-budget.

Goal 3: Grow transit ridership • Tactic A: Expand and improve transit services to reach new markets. • Tactic B: Improve connectivity of transit services for greater effectiveness.

COMMITTEE PROCESS RTAG: April 17, 2018 for information RMC: May 2, 2018 approved Board of Directors: May 17, 2018 for action RECOMMENDATION Staff recommends that the Board of Directors authorize the CEO to execute three contracts, selected by the SARCs, for Downtown Hub Public Art Services, within the South Central/Downtown Hub Light Rail Extension, for an amount not to exceed $676,500. CONTACT Wulf Grote, P.E. Director, Capital and Service Development 602-322-4420 [email protected] ATTACHMENT None



DATE AGENDA ITEM 4 May 10, 2018 SUBJECT Future Agenda Items Request and Report on Current Events PURPOSE Chair Glover will request future agenda items from members, and members may provide a report on current events. BACKGROUND/DISCUSSION/CONSIDERATION None COST AND BUDGET None

COMMITTEE ACTION None RECOMMENDATION This item is presented for information only. CONTACT Scott Smith Chief Executive Officer 602-262-7433 [email protected] ATTACHMENT None



Information Summary
